EUR/USD has bounced back above 1.3900 amid talk of demand at the 15:00 GMT London fixing. This suggests institutional investors have turned buyers of EUR/USD after selling the single currency on the 1.43 and 1.42 handles early last week.
Chinese offers were rumored on strength earlier in the session. Look for short-covering to accelerate if EUR/USD reaches the 1.3935/40 area.
