Forex news from the European morning session 23 June 2015

News:

  • Greece is moving closer to a deal says govt spokesman
  • EU's Moscovici says he's convinced a Greek deal will be struck this week
  • Austria's Schelling says Greek legislation is needed to allow aid approval
  • Greek health minister says they will not pay the IMF if no deal reached by end-June
  • ECB said to have raised cap on ELA for Greece once again
  • ECB's Vasiliauskas says ELA rise is a "reaction to liquidity situation"
  • S&P says what everyone fears
  • RBA's Edwards says rate cuts have been effective in lowering AUD
  • BOE announces new pay controls in tighter bank regulation
  • Option expiries 10am NY cut today 23 June

Data:

  • Eurozone Markit mftg PMI June flash 52.5 vs 52.2 exp
  • Germany Markit mftg PMI June flash 51.9 vs 51.2 exp
  • France Markit mftg PMI June flash 50.5 vs 49.6 exp
  • June 2015 UK CBI industrial trends survey orders -7 vs +1 exp
  • Italian industrial orders April mm +5.4% vs -0.2% prev
  • Italian retail sales April mm +0.7% vs +0.1% exp
  • Nikkei 225 closes up 1.87% at 20,809.42

Another session that's left us with more questions than answers as the euro comes under pressure again as Greek talks continue and markets look further down the road

After an early rally back to 1.1270 after the Asian fall from 1.1340 we began to slip lower, first to 1.1240 and now 1.1220 as I type. Decent PMI data failed to help sustain any rallies and we've seen the same pattern in other euro pairs with EURGBP now testing 0.7100 from 0.7145 and EURJPY 138.67 from 139.85

USDJPY failed to make the most of the strong Nikkei showing and the offers/res at 123.80 proved enough along with EURJPY to keep a lid on the pair albeit still with bids below 123.60

GBPUSD had its own wobble again to post new o/n lows of 1.5763 but once again EURGBP selling provided bids and we've since tried to get back above 1.5800 only to fall back as I type. Overall though the pound continues to attract buyers against faster-weakening currencies

USDCHF enjoyed the better US$ sentiment but failed at first to breach decent offers/res at 0.9300 but sustained pressure elsewhere has seen the pair now post 0.9330 while USDCAD has also made gains to 1.2349 from 1.2320 tempered by a steady oil price

AUDUSD has a large option interest at 0.7700 today and we saw good protection early on to then rally to 0.7745 only to then run into good offers and we're back testing 0.7700 with the clock ticking. NZDUSD just looks horrible still and hasn't needed any excuse to dip to lows of 0.6836 as I type

US data coming up features durable goods, mftg PMI and new home sales which should all add up to a decent session ahead