US shares have shed their gains and trade unchanged on the day after opening sharply lower and rallying better than 3% off their lows. EUR/USD turned higher with stocks (with a little help from the BIS, which bought in the 1.2560 region) but is holding gains despite stocks slipping back. EUR/US trades at 1.2645.
Steady custodial flows over the last week into Euro-denominated assets may be helping as may be the still-strong demand for EUR/GBP as UK banking shares continue to shrink. EUR/GBP trades at session highs of 0.9172.
Just crossing the wires, German finance minister Steinbrueck says there is no discussion on further economic measures. Two stimulus packages are enough, it would appear…
