European morning wrap: Poor morning for the euro

Single currency has had a poor time of it this morning, EUR/USD down at 1.2945 from early 1.3005, having been as low as 1.2930. The selling started right from the get-go and accelerated on the release of truly awful French PMI data. There was a reprieve on the release of strong German PMI data but it was short-lived. BIS said to have been selling this morning.

European stocks underwater, led by euro zone periphery markets. Italy’s FTSE MIB down -1.2% followed by Spain’s IBEX, which is down 1.0%.

Sell stops now seen through 1.2930. Sell orders clustered up at 1.2980/00. Said to include sovereign interest.

Cable hardly changed, very marginally easier at 1.6188 from early 1.6200. EUR/GBP down at .7993 from early .8023, having been hit hard by major French name.

USD/JPY effectively unchanged, up 5 pips from levels that greeted me, presentl;y at 78.18. Buy orders seen clustered 77.95/05, sell stops through 77.90. EUR/JPY down at 101.22 from early 101.60.

AUD/USD effectively unchanged at 1.0400. EUR/AUD down at 1.2445 from early 1.2496, reflecting the euro’s general weakness.

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