Irish downgrade, PIGS spreads starting to widen again (Spain out to 233 bp from 220/225 bp since last Thursday), US yields still around 3.25%…
We shook many of yesterday’s shorts overnight on the sprint up to the 1.3320 but the inability to move through support in the 1.3180/1.3200 area is a concern to me…I have this sinking suspicion that there is something going on out there that we don’t yet know about…Can’t articulate it, but I sense that there is someone or something holding this euro up.
Next up for the market is digest is weekly US jobless claims. 425,000 is the consensus forecast.
