• UK RIC house price balance rose to -19 from -23 . decline was slower than expected over some optimism recent government will help boost sales. -MNI
  • Japan 3rd qtr large manufacturing rebounds -MNI
  • Azumi says Europe , US, China, are downside risks .
  • MacQuarie custs China GDP forecast to 7.7 % in 2012 (from 8.1% ) and 7.5% in 2013 from 8.1% .
  • Australia August business confidence fell to -2 but business conditions rose to 1 from -3 .
  • China new Yuan loans at 703.9 bln Yuan , higher than the 600 bln forecast .
  • Back to iron ore prices , but now they’re on the rise -Brisbane Times .
  • New Zealand FinMin trying to jawbone the NZD/USD down . Says government using indirect pressure to try and bring it down . Irresponsible to instruct RBNZ to intervene .
  • IMF Min says Europe crisis not over after stating the world should believe Europe will recover and strongly supports ECB bond buying .

If it wasn’t for the late spike by the EUR/USD to 1.2790/95 (with the rest following in line ) caused by statements made by IMF Min , I’d still be napping . Still all in all a narrow trading range with no earth shaking events , sorry , forgot the incoming Chinese leader has a bad back and doesn’t want to come out and play . The risks events later this week are keeping market participants on the sidelines or squaring up positions taken earlier .

EUR/USD : Good buying interest down at 1.2750 with stops below . Topside saw sellers come out 1.2790/1.2800 .

USD/JPY : We increased the trading range tonight to 11 pips 78.18/29 . Play the tape : bids 78.00 , offers 78.50 .

AUD/USD : Right back to where we started the session at 1.0336 . Not as much dome and gloom tonight so a test of 1.0300 just wasn’t in the cards with good buying interest 1.0315/20 and sellers up at 1.0350/60.

Have A Good Day .