The market was able to push EUR/USD just far enough to trigger stops in the 1.3270s but not far enough to get the next batch up at the 1.3290 level.Looks like we’ll leave those to Asia to pluck like lemons…
It has been a bizarre day of quantum moves in the bond market in an order of magnitude often measured in months seen in just the last 24- hours.
The dollar rises slowly when yields are soaring and drops quickly the minute they stop. I have a gut feeling there was some major dollar selling today that was masked by the sharp rise in rates…If downside momentum in EUR/USD is not borne out over the next 12-18 hours it would not surprise me to see the 1.3400/40 area come back into play before the week is out.
EUR/USD heads into the NY close on the defensive with EUR/USD at 1.3266 and USD/JPY at 84.00.
