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13 Mar 2013
Forex: EUR/USD erases gains after peaking at 1.3065
The market rebound could only extend to 1.3065 high as the EUR/USD peaked there just before the European opening, giving in to selling pressure that fully retraced daily gains back to the 1.3034 opening price.
EMU industrial production is due at 10:00 GMT and consensus points to a 0.1% monthly drop in February. “There is more activity with issuance, where Italy is issuing up to €5.5bn of 15s and 28s, in addition to 4y and 5y FRNs, announced around EST10:10am and Germany is issuing €5bn of 2y, with results around EST10:35am”, wrote TD Securities analyst Alvin Pontoh.
Spain CPI rose 0.2% (MoM) and 2.8% (YoY) – consensus of 0.1% and 2.7% - in February, with HICP also having a higher final reading of 0.1% and 2.9%, against 0.0% and 2.8% consensus.
France nonfarm payrolls fell -0.2% in Q4 2012 (QoQ), following a -0.2% drop in Q3 that was revised from -0.3%. The final reading of French February CPI (EU norm) came in at 0.3% (MoM) and 1.2% (YoY).
“Larger picture bears are still in play and see the downside vulnerable, as loss of 1.2950 would open 1.2900 and 1.2875, 50% retracement of larger 1.2042/1.3710 upleg”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to a stronger recovery once above 1.3133/60 barriers.
EMU industrial production is due at 10:00 GMT and consensus points to a 0.1% monthly drop in February. “There is more activity with issuance, where Italy is issuing up to €5.5bn of 15s and 28s, in addition to 4y and 5y FRNs, announced around EST10:10am and Germany is issuing €5bn of 2y, with results around EST10:35am”, wrote TD Securities analyst Alvin Pontoh.
Spain CPI rose 0.2% (MoM) and 2.8% (YoY) – consensus of 0.1% and 2.7% - in February, with HICP also having a higher final reading of 0.1% and 2.9%, against 0.0% and 2.8% consensus.
France nonfarm payrolls fell -0.2% in Q4 2012 (QoQ), following a -0.2% drop in Q3 that was revised from -0.3%. The final reading of French February CPI (EU norm) came in at 0.3% (MoM) and 1.2% (YoY).
“Larger picture bears are still in play and see the downside vulnerable, as loss of 1.2950 would open 1.2900 and 1.2875, 50% retracement of larger 1.2042/1.3710 upleg”, wrote Windsor Brokers analyst Slobodan Drvenica, pointing to a stronger recovery once above 1.3133/60 barriers.