Not too much change in Asian trade. Aussie enjoyed an active session, but at .8425 presently is little changed from where it left off Monday in North America.
The thing that sticks out most is some general euro weakness, EUR/USD down at 1.4385 from a North American close around 1.4415, while EUR/JPY has slipped to 136.85 from around 137.35.
We seem to be going through some consolidation after the recent surge in risk appetite. Stops were triggered when 1.4400 gave out in EUR/USD, while EUR/JPY ran into decent sell interest just ahead of touted barrier option interest at 138.00, topping out at 137.69.
Cable remains in pretty good shape, although the psychological 1.7000 seems to proving a durable barrier to accelerated upside. In the back of every cable bulls’ mind will be Thursdays Bank of England MPC meet and the possible announcement of further quantitative ease.
Little in the way of really meaningful economic data today. UK PMI construction is probably the most interesting.
07:15 GMT: Swiss CPI (July) expected -0.5% m/m, -1.1% y/y
08:30 GMT: UK PMI construction (July) expected read 45.0
09:00 GMT: Euro zone PPI (June) expected +0.2% m/m, -6.6% y/y
