EUR/USD edges above small buy stops at 1.2240 and is nearly unchanged on the day.
What happens next will depend on the stock market. S&P 500 futures are down 4 points to 1348 as the disappointment of a soft economy competes with rising hopes for QE3.
I expect eventually disappointment will win out, sending stock lower and weighing on risk trades. The Canadian dollar looks especially vulnerable because the BOC will probably move toward an easing bias at tomorrow’s meeting.
