Friday, support for Bernanke appeared to be rapidly eroding, but the momentum seems to have stalled over the weekend and the Fed chair is expected to win the Senate’s endorsement later this week. The vote will be historic in that Bernanke will be confirmed with the smallest margin in the history of Fed confirmations. 17 Senators are on record as opposing Bernanke, more than the 14 who voted against a second term for Volcker.
Strong demand for Greece’s government bond issue have steadied jitters but spreads are still historically wide. Greece will spend almost 370 bp more than Germany for 5-year money.
Stops are seen above the 1.4200 level with larger above 1.4220. Bids are eyed near 1.4135. Hourly trendline support is seen there. Stops are seen cluster below support at 1.4120.
