Stocks are off their-post rate cut lows with Trichet suggesting more rate cuts are to come. EUR/JPY is rebounding after a slide. Watch for the reaction to the 126.00 area on rebounds. Prices could stall there, but if we break above, short-covering could ensue.
Trichet says 75 bp was considered but the vote for 50 bp was unanimous.
Dealers note some continued buying of EUR/USD and GBP/USD for a second straight day from Asian, Eastern European and Middle Eastern central banks.
