Deadly dull out there once the post China/G8 flurry wore off. We’ve edged lower in glacial fashion in EUR/USD this afternoon, now at 1.4153. Oil has given back all its gains and then so, now at $69.29 after trading as high as $71.85 earlier today. The S&P is up a half-percent after a 1.5% rally this morning.
Some wonder if the Chinese are manipulating the currency markets via their repeated comments on their desire for a new reserve currency since they were a high-profile seller of EUR/USD into strength today. As Confucius says, if it walks like a duck and talks like a duck, it’s a duck.
Tomorrow morning is sure to be busy amid US payrolls, jobless claims and the ECB meeting. The afternoon will probably resemble today’s anemic price action.
