EUR/USD absorbed some of the offers above 1.4400 after the upbeat US industrial production and capacity use data and on the subsequent news that Fitch had affirmed the US’s AAA status but it stalled around the 1.4410 level. Some of the selling is linked to expiring 1.4400 strikes later this morning while some of the sellers are longs trapped by yesterday’s rally which faltered in pretty spectacular fashion after the weak German GDP report earlier today.
Looks like we’re 1.4350/1.4450 at best today, save for a surprise from Sarkozy/and Merkel…
