EUR/USD at 1.2740 is fairly steady, showing little real change on the day in Europe. The snow storm in the UK is probably taking its toll, with sources reporting a distinct lack of inclination to get too involved. London traders probably have one eye fixed on their commute home. Order books are said to be light.
The story about possible European central bank currency swap defaults mentioned earlier was a Barrons piece. I can’t unfortunately get a copy of the story, but they apparently report that individual European central banks are at risk of defaulting on currency swap lines with the Fed as European banks struggle to deal with deteriorating market conditions and outstanding exposures to bad assets weigh on the financial sector.
P.S. Rich has very kindly forwarded the link to the story, which can be found under comments.
