Merkel and SPD to start talks on forming coalition

Livesquawk citing Bild article following yesterday's meeting 1 Dec

• to start exploratory talks on forming another grand coalition

I'm not sure how "new" the news is but might help to explain some of the earlier euro demand.

Further headlines now appearing on Rtrs too.

• party sources say conservatives and SPD prepared to start talks to solve political impasse

The CDU/CSU/SPD all met with German president Steinmeier at his request yesterday as I had previously reported last week and this. It appears they looked at various options but then decided to go down grand coalition route again.

EURUSD finding support around 1.1900 after falling from 1.1935. EURGBP steady around 0.8820-25. EURJPY 133.75

Another Merkel and Schulz show on the cards?