The Euro is trading at 1.0868 at this writing.  The low has traded at 1.0859 while the high has traded at 1.0905.  The Euro has eased a bit this morning following the release of important European economic data.  Both European Final CPI and European Final Core CPI met expectations registering 0.2% and 0.9% respectively.  European ZEW Economic Sentiment is slightly lower than expected with 22.7 recorded.  German ZEW Economic Sentiment beat expectations with 10.2 recorded.  Earlier in the morning, European Current Account exceeded expectations with 26.4 billion Euros recorded while German Final CPI met expectations with -0.1% posted.  The Euro is hovering about 10 pips above the low of the day as downside pressure on the Euro still weighs on the currency.  With European economic data limited ahead of Thursday’s ECB interest rate announcement and following press conference, the Euro could find itself holding in a range bound pattern.  Investors will be highly interested in the comments coming out at the ECB Press Conference which will clarify the focus of the ECB moving forward.  It is anticipated that interest rates in Europe will remain unchanged as steady and consistent positive growth is the desired objective. 

The British Pound is trading at 1.4309 at the moment.  Sterling has traded at a low of 1.4238 while the high has traded at 1.4340.  The Pound has firmed this morning following better than expected inflation data out of the UK.  Both UK CPI and UK Core CPI beat expectations registering 0.2% and 1.4% respectively.  UK PPI Input was better than expected with -0.8% while UK PPI Output met expectations recording -0.2%.  UK RPI was better than expected with 1.2% registered while UK HPI was also better than expected with 7.7% recorded.  This data has been largely what the Bank of England has been hoping to see as inflation headwinds were anticipated a while back now.  The data today shows improvement in that sector which will be welcomed by the central bank.  Inflationary headwinds were anticipated causing the central bank to state that it will maintain interest rates at its lows for an extended period.  Following the release of the data, the Pound moved higher to touch the high of the day before easing back to current levels.  Looking ahead, UK jobs data will be released tomorrow.

The Japanese Yen is trading at 118.03 at the present.  USD/JPY has traded as low as 117.23 while the high has traded at 118.08.  There has been no Japanese economic data of note released today.  However, the Yen eased after the release of lower than expected Chinese data.  Amongst this data was Chinese GDP which was slightly lower than expected registering 6.8%.  Additionally, Chinese Industrial Production, Fixed Asset Investment and Retail Sales were all slightly lower than expected with 5.9%, 10.0%, and 11.1% posted respectively.  This data encouraged the US Dollar gain support as a result.  The Dollar hovers near it high versus the Yen at the moment with potential to push even higher.
AUD/USD is trading at 0.6936 with the low trading at 0.6838 while the high has traded at 0.6949.
USD/CAD is trading at 1.4446 with the low trading at 1.4439 and the high trading at 1.4559.
This information has been prepared to provide you with general information only. It is not intended to take the place of professional advice and you should not take action on specific issues in reliance on this information.