 | |  | | EUR/USD opened NY around 1.2405 having traded a choppy
1.2315/1.2445 range overnight. Stocks opened the Noram session well bid but
fell back under the weight of Deutsche bank cutting ratings on some large US
regional banks as well as negative S&P comments re bank card customers living
paycheck to paycheck (even though we had a small drop in delinquency rates (3%
from 3.2%) US data sets offset, housing starts at 672k exceeded f/c (650k) but
permits undershot (606k vs 680k f/c) some fears that tax incentives that expired
boosted starts at the expense of future growth. PPI at -0.1% was below f/c
(+0.1%) y-on-y 5.4% vs 5.6% f/c but core at +0.2%, 1.0% y-on-y outpaced f/c (0.1
and 0.9% respectively) Heading into lunchtime EUR/USD held 1.2360.
Reuters News - German Fin Min announced re-instatement of the ban on naked
short-selling of EUR govt bonds, CDS on EUR govt bonds and shares of 10 leading
German financial institutions as of midnight tonight. EUR/USD was smashed lower
as traders sought to hedge other holdings via FX. EUR/USD plunged to 1.2160 lows
and closed 1.2210/20 amid heavy real money sales; US equities -1.08/1.48%. |  |  |  |  |
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