- SNB’s Jordan: “Will not tolerate franc breaching 1.20 EUR/CHF” Wow!!
- Eurogroup’s Juncker: Greece cannot be forced out of the euro, has no doubt Greece will fulfill its duties
- German December industry output -2.9% m/m, demonstrably weaker than Reuter’s median forecast of -0.3%. November’s data, on the slight plus side, revised up to flat from previous -0.6%
- German trade union IG Metall says to demand up to 6.5% annual wage increase for 3.64 million manufacturing workers
- Greek auction
- French December trade balance -5.0 bln, slightly better than Reuter’s median forecast of -5.3 bln
- ECB funding to Italian banks at 202.6 bln in January, down from 209.995 bln in December
- Shanghai shipping slump as IMF warns China on euro slump – AEP at The Telegraph
Fairly orderly market. EUR/USD hardly changed on the day. We’re at 1.3115 from around 1.3105 when I parked my bum. We got a head of steam up early and managed to reach session high 1.3167 (Reuters) 1.3169 (EBS).
Reports quickly circulated that China had been seen selling 1.3160+ and that was the rally extinguished. Really naff German industrial output data (see above) has added a little to downside pressure in late morning trade.
Swissy has been in focus this morning. EUR/CHF up a touch at 1.2070 from early 1.2060, having reached the heady heights of 1.2085. Market had it’s focus firmly on SNB’s Jordan. Official was down to speak at 10:45 GMT and as news of a delay to 11:15 GMT circulated, so did rumours of a hike in the peg to 1.2200.
As it transpired the rumour was spurious, but Jordan did his utmost to underline the SNB’s determination to hold the 1.2000 peg. This one’s going to run and run……
