I’d expect the euro to struggle to overcome the 1.3415/20 area this afternoon as that was such an important support zone on the way down. We’re having trouble even clearing the 1.3400 area in very light Friday afternoon trade.
Reasonably firm US employment data capped off a week of strong manufacturing and retail sales data and should make it politically difficult for the Fed to do yet another round of quantitative ease.
Reluctance on the part of many in the US to add additional resources to the IMF is weighing on EUR/USD as well. Europe may have to pay for its own bailout after all…
