EUR/USD is rallying in the wake of still-high jobless claims and a big jump in continuing claims. The trade deficit blew out to $62.2 bln in July (which will shave the next revision to Q2 GDP). On the bright side, import prices fell 3.7%. Odds of a further cut from the Fed are edging higher with December cut now a flip of the coin.
Look for 1.4000/10 to provide resistance on rebounds.
