• Spain’s jobless rises 84,985 in August vs fall of 20,794 in July. First rise in 4 months as a slowdown in tourism and end of summer hiring saw lay-offs – Govt
  • Shanghai share index ends up provisional 1.2%
  • Car bomb goes off outside Athens bourse causing serious damage to building. 1 woman slightly injured
  • German new car registrations rise 28% in August. Registrations to decline clearly once scrappage scheme ends, but decline will be more moderate than first expected -German car importers group VDIK
  • Applications for German car scrapping scheme have exhausted available funds – BAFA govt agency
  • UK construction PMI index rises to 47.7 in August, very slightly lower than median forecast of 48.0, but still highest read in 18 months
  • Euro zone Q-2 GDP unchanged -0.1% q/q, very slight downward revision to y/y data, to -4.7% from -4.6%, which was expected
  • Euro zone July PPI -0.8% m/m, -8.5% y/y, weaker than median forecasts of -0.6%, -8.4% respectively
  • UK’s BP has made “giant” oil discovery almost seven miles beneath Gulf of Mexico

Not too much to hoot and holler about this morning.

EUR/USD little firmer, up at 1.4230 presently from an early 1.4215. China has been a notable buyer this morning, starting around 1.4215. Talk about micro management!!!! Sell orders at 1.4250 have so far capped. Buy stops said to lie just above 1.4260.

Cable has had a choppy day. Started around 1.6165 and rallied to 1.6191 initally with Russia seen good buyer. However touted sell orders at 1.6190/00 held firm and cable was soon on the defensive.

Eventually a session low 1.6115 was posted, where an Asian sovereign stepped into the market as an aggressive buyer. They were joined by good middle eastern buy interest around 1.6150 and we’ve seen the pairing reach a session high 1.6235 so far. We’re presently at 1.6230.

News of a “giant” BP oil find in the Gulf of Mexico (see above) will be lending sterling some support.

EUR/GBP is down at .8765 from an early .8795. A UK clearer is said to have been an aggressive seller of the cross.

USD/JPY marginally easier, down at 92.65 from early 92.85, but off session low around 92.40.

EUR/CHF little firmer, up at 1.5170 from an early 1.5155. Speculation SNB could be preparing to intervene