Microsoft just announced a $40 bln stock buyback. Expect to see more of that in the weeks ahead as firms take advantage of low share prices to juice up per-share earnings.
EUR/JPY is well bid as Microsoft’s move helps signify the worst of the market turmoil may be over and the MUFG investment in Morgan Stanley underpins the USD/JPY side of the trade.
1.4700 is key resistance for EUR/USD in coming days. As noted over the weekend, I’d expect the rally underway in recent session to stall between 1.4700 and 1.4950.
