Financial markets are also anticipating the minutes of the latest Federal Reserve monetary policy meeting later today when the Fed decided to extend its Operation Twist program. "The minutes will be scanned for any hints that a further expansion of the Fed's balance sheet (i.e. outright bond purchases) is also a possibility", Wells Fargo says.
"Overall, we don't see today's price action as decisive, and the price action of the euro in particular remains less than convincing", they add. "Nonetheless, over the coming weeks and months we still expect some improvement in market sentiment, an environment that should be favorable for the commodity and emerging currencies in particular".