The holiday maybe in the USA but Europe largely took advantage to join in, letting a few crossplays ‘pass the parcel'; we may have a couple more quiet sessions ahead as the next move will probablybe US equity market-led.
- AUD was the main mover from the Asian session -bullish news of M & As in the coal & sugar industries especially the proposed $2bn takeover of Centenniel Coal and the more bearish concerns of Australian debt
- BOJ sees slow progress on EU Debt
- SNB’s Hildebrand still monitoring currency closely
- Ukraine and Hungary looking to the IMF
- AEP is reliving 1932 : US locked in depression
- Euro June Services Growth Declines
- Euro Retail Sales Improve
- Euro Sentix Investor Confidence – Improves to -1.3%
- Swiss Retail Sales 3.8% y/y
- UK Gilt market in good shape
- UK Budget cuts get mixed views
- UK CFOs pessimism on double dip potential
All in all a quiet day with mostly narrow ranges; the market essentially ignored the economic data which largely showed the continuing story of slowing growth in europe; even the encouraging Sentix Investor confidence and the good Swiss Retail Sales numbers were ignored.
It just wasn’t the day to take notice.
The story of slowing economic growth and the potential for a double dip are the buzz words in all commentary.
Ranges
EUR/USD 1.2417/63 with several hours in a narrower band !
EUR/JPY 109.71/110.42 EUR/GBP 82.53/86 EUR/CHF 1.3308/67
CABLE 1.5117/99 USD/JPY 87.64/88.00
AUD/USD 0.8378/0.8468 AUD/JPY 73.47/74.15
USD/CHF 1.0619/63
GOLD 1207/1214.75 OIL Brent 71.46/72.33
European Equity markets remained similarly quiet qith the FTSE down just 0.1%, the DAX and CAC at evens.
BP stock rose 5.5% on the hope that the plugging of the well maybe only a month away and amid talk of taking on a strategic investor.
