Intra-Day Market Moving News and Views
25 Feb 2015 08:00GMT
EUR/USD - ..... Euro pares intra-day gain after jumping to session high of 1.1388/89 shortly after European open, the break of yesterday's 1.1359 top bodes well for further gain later in the day once offers at 1.1390/00 are absorbed and fairly large stops are reported above 1.1450.
Bids have been raised to 1.1360-40 area with some stops below 1.1330.
A piece of euro-supportive news, Reuters reported French consumer confidence rose to its highest level in nearly 3 years in February, INSEE statistics agency said on Wednesday.
The index rose to 92 from 90 in January, beating analyst forecasts of 91 and reaching its highest level since May 2012. It was still well below its long-term average of 100.
The index, which is not closely correlated to consumer spending trends, hit an all-time low in May and June 2013 of 79. The highest level since the survey was conducted on a monthly basis was 125 in Jan 2001.
Early this morning Euro maintains a firm undertone in subdued Asian trading after Tuesday's intra-day wild swings.
The single currency was on the defensive in European morning as market awaited European Commission's to Greece's submission of its reforms proposal.
Price fell from intra-day 1.1343 high to 1.1296 in European morning and despite a knee-jerk reaction after the EC accepted Greece's reforms plan, euro spiked to session lows of 1.1288 when Fed chief testimony was released but price quickly rallied on short-covering to day's high of 1.1359 before chopping inside a 1.1302-48 range in NY afternoon.
Euro is expected to gain respite as price has managed to shrug off bearish fundamentals, suggesting the 3-week long sideways range of 1.1534-1.1270 would continue in the coming days and upside risk has increased for further upside gain on more short-covering.
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