- ECB’s Knot: Common euro bonds needed ‘in the end.’ ECB can’t keep increasing risks on its’ balance sheet
- French revised 2012 budget
- Swedish central bank keeps repo rate unchanged at 1.50%
- Italy’s Monti says no euro bonds without controls, Faz reports – Bloomberg
- Bavarian FinMin Soeder: Greece can not and will not make it
- Eurozone June final services PMI 47.1, up from 46.7 in May and flash read of 46.8
- UK June services PMI 51.3, down from 53.3 in May and below Reuters’ median forecast of 52.8. 8 month low. Markit says UK PMI surveys point to overall GDP dip of 0.1% in Q2
- Eurozone May retail sales +0.6% m/m, better than median forecast of +0.3%. But April data revised downward, to -1.4% m/m from prev -1.0%
- Swiss Minister: Only a lunatic would join EU (ok it’s old news, but gave me a chuckle)
Given the US holiday it was always likely to be a lacklustre European morning session, and that’s how it panned out.
European stocks have given some ground, eurostoxx down -0.6% at writing, while Spanish and Italian government bond yields have crept higher. Against this backdrop, EUR/USD has slipped slightly.
Down presently at 1.2570 from early 1.2590, having been as low as 1.2563 so far. Talk of buy orders clustered 1.2550/60, sell stops through 1.2540.
USD/JPY effectively unchanged at 79.80.
Cable marginally lower at 1.5655 from early 1.5675.
