The ‘good names’ which have been selling EUR/USD above 1.4400 over the last few days had some serious intent, especially near 1.4440 where the offers were very heavy. Bernanke did not deal any more low cards in the direction of the USD, and with the market already short dollars, we may see some USD strength for the rest of this week. Cable has broken below 1.6100 again and a lot of professional traders are jumping on the ‘never too late to sell sterling’ train. Kampo is reportedly buying USD/JPY around 80.00, although moving USD/JPY appreciably in any direction is a mammoth task.
Good luck today.
ps Coverage will be intermittent for most of the morning but we’ll try and keep you abreast of any important developments. I’ll answer any questions as best I can when I get back.
