This is a review of the elements likely to affect foreign exchange
(Forex) trading in Europe:
G-20 Agree More Government Action Needed for World Recovery - Bloomberg
Lagarde: IMF to Cut Global Growth Target Next Month - CNBC
Germany Losing Patience With Spain as EU Warns on Crisis - Bloomberg
Euro under $1.29 for first time since QE3 - FT
Japan Azumi: there will be no vacuum in FX policy - Reuters
Fed's Williams sees expanded QE3 in 2013, end by 2014 - Reuters
Inflation well anchored in US, not so much in UK: Fed paper - Reuters
Obama should call China a currency manipulator: Romney aide - Reuters
Retailers AlertHalloween to Scare Up $8 Billion in Spending - CNBC
hit record high - Reuters
Apple Co-Founder Wozniak Wants to Be an Australian Citizen - Bloomberg
Asia Stocks Swing Between Gain, Loss as Exporters Fall - Bloomberg
Renminbi gains traction in cross-border trade - FT
China's Central Bank Injects Funds to Ease Cash Crunch - Bloomberg
China-Japan Talks Start in Beijing Amid Island Tension - Bloomberg
Investors pour money into India after reforms - FT
RBA Says 'Buffers' Shield Households From Global Risks - Bloomberg
South Korea Delays Fiscal Balance to Boost Economy - WSJ
Exiled Thai Leader Thaksin Signals Sister to Avert Political Crisis - Bloomberg
Philippines, China Agree to Preserve Ties as They Repeat Claims - Bloomberg
Ex-Olympus Chairman Admits Accounting Fraud Role in Court - Bloomberg
Monti Downplays Sovereignty Risk - WSJ
Nobel Winner Stiglitz Says Time Running Out for Europe - Bloomberg
Tables Turn on Spain With Pressure to Seek Bailout - CNBC
Spanish Bad Bank Risks Investor Conflict With Stressed Lenders - Bloomberg
Next BOE Chief Must Be Independent of Banks, Cable Says - Bloomberg
Temasek reconsiders StanChart stake - FT
RBS Managers Said to Condone Manipulation of Libor Rates - Bloomberg
EUR: The euro crosses are still in consolidating mood. Tables turn on Spain with renewed pressure from its peers to seek a sovereign bailout. To do so, Eurozone states studying the leverage of the permanent bailout fund (ESM) so it can reach a capacity of more than €2trn. EUR-USD is close to 1.2900, its weakest reading since the Fed announced the arrival of QE3. We maintain a downward call on the main euro pairs.
GBP: The sterling crosses show more resilience compared to the euro ones. Cable is holding above 1.6240, while GBP-JPY trades a tad below 126.40. EUR-GBP points south and is below 0.8000. Today's fairly weak agenda in both Eurozone and UK leaves this pair to market sentiment.
CHF: The Swiss franc gains traction versus the common currency. EUR-CHF is trading below 1.2100 but it seems rather difficult to see a movement back to the 1.20 floor set by the SNB. USD-CHF steadies above 0.9350.
Nordics: The krona and the kroner seem to be directionless in the last few days. The SEK is weaker compared with the NOK.
USD & JPY: The US dollar
and the Japanese yen are still in demand in a risk-averse context. Departing Japan Finance minister Azumi has sayed that there will be no vacuum in FX policy. USD-JPY holds below 78.00 after hitting a 7-month low at 77.131. Pay close attention to today's US macro indicators.
CAD, AUD & NZD: The three dollars advance lead by the kiwi that was heavily sold yesterday. A strong reading from China's leading indicator provided by Conference Board help as well.