Euro breaks Friday's high
The trading dynamics of the euro are tough to encapsulate. It's pushing the yen for the role as funding currency. With that, we're getting an unwind and shift into cash. However even with cash, there is nothing to buy in Europe so there's an ebb and flow around it that's tough to predict.
I wrote yesterday that this is a technician's market and the knock-on effects of the breakdowns today in yields and stocks highlights that. The other big one is 110.00 in USD/JPY.
As for the euro, the break higher today clears the way to 1.0889, which isn't a particularly important resistance level.
