The London session was relatively quiet for most of the majors. EUR/USD was a touch lower to around 1.2590/95 as Euro-zone industrial fell to a lower than expected annual rate of -2.4% in September from -0.7% the prior month. JPY crosses slipped as well on the back of relatively weak global stock markets. USD/JPY shed more than -40 pips towards 97.50 while EUR/JPY fell more than -60 pips into the 122.80/90 zone.
One of the major movers was Cable. GBP/USD plunged more than -170 pips and was sitting near 1.5250 as the NY session kicked off. This was on the back of extremely dovish comments from Bank of England Governor King. He said the BOE is ready to cut rates to whatever level needed, which led many to believe that a 0% rate is not out of the question. He also noted that it is not surprising that the pound has fallen and that this decline should help in ''rebalancing''. Cable initially tried down to 1.5200 and held. This now looks like the next big trigger for downside here.
Upcoming Economic Data Releases (NY Session) Prior Estimate
- 11/12/2008 15:30 GMT US Treasury's Paulson to Speak on Financial Rescue Package
- 11/12/2008 16:00 GMT US Fed's Kohn Speaks on Financial Services in Luxembourg
- 11/12/2008 18:00 GMT US Minneapolis Fed's Stern Speaks in Minneapolis
