Daily Afternoon Report 27/11/2012 | Forex Trading Analysis

The Europe we saw at the beginning of today’s session was very different than the Europe of yesterday, at least from a trader’s perspective. Euro-zone leaders came to an agreement on Greece that lowered interest rates, returned some of the money made off of previous loans, and setup the release of the next 34.4 billion Euro aid tranche in December. The Euro has now erased all of the gains following the Greece announcement and is trading slight above 1.2950 against the US Dollar in currency markets.

UK gross domestic product for Q3 confirmed 1.0% economic expansion over the quarter, as the Olympics and previous quarter’s Jubilee holiday gave the UK a one-time spike in growth. Office for National Statistics’ release, output in production industries rose by only 0.9%, down from a previously estimated 1.1%. Service industry was confirmed to have seen a 1.3% rise in output.

The US Dollar rose a bit when Fed member Fisher said during a speech in Berlin that he advocates setting limits to QE as soon as the next meeting. Fisher said that the US’s biggest problem is unemployment and that inflation is under control in the US. 

Daily Morning Report 22/11/2012 | Forex Trading

In latest news, the China HSBC Flash Manufacturing Purchasing Managers Index hit 50.4 for November, a 13-month high and up from a final October reading of 49.5. As a result, the dollar was sent dipping as investors sold the unit to invest in stocks and higher-yielding asset classes. Renewed hopes that Greece will soon tap bailout funds sent the U.S. Dollar falling as well.

In Brussels, Eurozone finance ministers and representatives from the International Monetary Fund failed to agree to disburse aid to Greece earlier this week. European governments support giving Greece a two-year extension to trim the country's debt burdens to 120% of GDP, though the IMF did not agree.

Meanwhile, the IMF opposed the two-year extension and says policymakers should stick with plans for Greece to bring debt burdens down to 120% by 2020 — and not 2022 — but has said European countries should take a hit on Greek loans, which has run into opposition in Europe.

Still, the euro gained on hopes that all sides will strike a deal at a follow-up meeting on Monday and free EUR31.5 billion earmarked for the crisis-ridden country.

Later Thursday, European Union leaders will hold the first day of a two-day summit in Brussels to discuss the debt crisis and plans for greater fiscal and monetary integration across the region, while, the Eurozone is to release preliminary data on manufacturing and service-sector activity, leading indicators of economic strength. Germany and France are also to release individual reports.

U.S. markets will be closed on Thursday for the Thanksgiving holidays.

Daily Afternoon Report 20/11/2012 | Forex Trading Analysis

After another rally spiking to 1.2830 as the NY session opened, the EURUSD eased back to the 1.2800 psychological level. Fed's Lacker is in favour that the US Congress limits the central bank's credit policy and is against linking the policy to the unemployment rate. Also, Reuters reported that Italy may veto the EU budget if it goes against the country’s interests. The pair is currently trading sideways at 1.2800 after the release of weaker US building permits and better than expected housing starts.

Later Bernanke (FED) will speak and might 

Daily Morning Report 19/11/2012

The dollar weakened against the world's major global currencies on Monday on budding hopes U.S. policymakers will steer the economy away from a fast-approaching fiscal cliff. If untreated, the fiscal cliff could siphon over USD600 billion out of the U.S. economy next year alone in the form of rising taxes and cuts to government spending.

Last Friday, Democratic and Republican congressional leaders met with President Barack Obama earlier to discuss ways to avoid the cliff, and both sides emerged afterwards expressing optimism for a deal, which continued to draw investors out of the safe-harbor dollar on Monday.

In other news, the euro traded steady to higher against the dollar on Monday as investors went long ahead of a Tuesday meeting of Eurozone finance ministers that could lead to fresh bailout money flowing into Greek coffers.

On Tuesday, Eurozone finance ministers will meet to discuss unlocking Greece’s next tranche of aid. Expectations that European Union policymakers and the International Monetary Fund will disburse aid to crisis-weary Athens began to build early in the session and stoked demand for higher-yielding currencies, which came at the dollar's expense.

In latest news, as released by Rightmove House Price Index, “This month sees a drop of 2.6% (-£6,407) in the asking prices of properties coming to market, following the now familiar post-credit-crunch pattern of falls in November. However, this is the least severe November fall since 2009 and still leaves prices 2% (+£4,617) ahead of where they were this time last year – the highest annual rate of increase achieved in November for five years”.

Later Monday, the U.S. is to release industry data on existing home sales, a leading indicator of economic health.

Daily Afternoon Report 09/11/2012

The U.S. dollar was broadly higher against most of its major counterparts on Friday, concerns over the handling of Greece's financial woes continued to weigh, while worries over U.S. fiscal policy also persisted.

The euro came under pressure after German Finance Minister Wolfgang Schaeuble on Thursday said next week may still be too early to make a decision on granting further aid to Athens, despite a successful vote on new austerity measures. But later on EUR/USD bounced ahead of U.S. data.

Official data showed that industrial production in France dropped 2.7% in September, more than the expected 1% decline, after a 1.9% rise the previous month, while, in Italy, industrial production tumbled 1.5% in September, compared with expectations for a 1.4% drop, after a 1.7% increase the previous month.

The dollar was also higher against the pound, since earlier in the day, the official data showed that the U.K. trade deficit narrowed more-than-expected in September, hitting GBP8.4 billion from a deficit of GBP10 billion the previous month.

The Aussie came under pressure after the Reserve Bank of Australia reduced its 2013 growth outlook to 2.75%, earlier in the day.

On the other hand, the export-linked currencies found some support after data showed that industrial production in China rose by 9.6% last month, more than the expected 9.4% increase and following a 9.2% rise in September.

Concluding, the overall market sentiment continues to be weighed by concerns over the U.S. fiscal cliff, automatic tax hikes and spending cuts due to come into effect on January 1 unless lawmakers can reach an agreement, which could threaten U.S. and global growth.

In recent U.S. news, consumer sentiment rose to its highest level in more than five years in November as consumers felt more optimistic about employment prospects and the outlook for the overall economy, a survey released on Friday showed. The Thomson Reuters/University of Michigan preliminary reading on the overall index on consumer sentiment came in at 84.9, up from 82.6 the month before. It was above the median forecast of 83 among economists polled by Reuters.

Daily Afternoon Report 25/10/2012

Earlier Thursday, the Reserve Bank of New Zealand kept its benchmark interest rate unchanged at 2.5%, marking Governor Graeme Wheeler's first decision as head of the central bank, after replacing Alan Bollard in late September.

The preliminary release of the UK Q3 GDP came in much stronger than expected causing EUR/GBP to plunge, while GBP/USD rose.

The euro extended its correction versus the dollar after the jobless claims drop as well as the durable goods orders rise to more than expected levels.

Elsewhere, the yen remained broadly weaker amid mounting speculation over the possibility of more easing by the BoJ at its upcoming policy meeting on October 30.

Daily Afternoon Report 24/10/2012

The U.S. dollar was higher against the euro on Wednesday, as weak data out of the euro zone fuelled concerns over the deepening impact of the sovereign debt crisis on the region’s economy, but morning losses were erased later in the afternoon.

Meanwhile, European Central Bank President Mario Draghi is currently at a meeting in Germany’s central bank, which is to be followed by a press conference.

Later Wednesday, the Federal Reserve is to announce its benchmark interest rate and release its first monetary policy statement since the central bank announced a third round of quantitative easing in September. The U.S. was to release official data on new home sales.

Elsewhere, the Sterling found support after Bank of England Governor Mervyn King said Tuesday that policymakers would have to think "long and hard" before implementing further quantitative easing measures.

EUR/USD Live 4 hours chart

USD/CHF 4 hour Technical Analysis October 19/2012

USD/CHF 4 hour Technical Analysis October 19/2012

EUR USD 4 Hour chart Technical Analysis October 19-2012

USD CAD Live Chart

EUR GBP Live

German Economic Expectations Fall Again

MANNHEIM--German economic expectations in June fell at the fastest rate in more than a decade, reflecting the view that Greek repeat parliamentary elections only provided a brief respite and that the situation in the euro zone is "still precarious," the Center for European Economic Research, also known as ZEW, said Tuesday.
The economic expectations index fell to -16.9 in June from May's unrevised 10.8. The last time the decline in the indicator was this great was in October 1998. Experts in a poll by Dow Jones Newswires had expected a fall to 2.8 for June.
The widely watched ZEW index fell again in June after improving sharply in recent months. After declining for nine months on the deepening of Europe's sovereign debt crisis, the index turned negative in June after turning positive in February.
ZEW said the decline is a warning that optimism over Germany's economy is still premature as its main trading partners are experiencing an economic downturn.
The current conditions index fell to +33.2 from May's unrevised 44.1. Experts had forecast a reading of 39.0 for June.

Microsoft Unveils 'Surface' Tablets

Microsoft unveils tablet it hopes will take on iPad


--Tablet runs on version of Windows 8 operating system
--Surface to be priced similarly to other tablets, company says
LOS ANGELES -- Microsoft Corp. (MSFT) unveiled on Monday a family of tablets that run the upcoming version of its Windows operating system, a move that comes as the software company races to catch up with Apple Inc. (AAPL) and Google Inc. (GOOG) in mobile computing.
At an event in Los Angeles, Microsoft Chief Executive Steve Ballmer introduced the company's Surface family of tablets. The devices, which feature magnesium bodies and built-in stands, run versions of Microsoft's Windows 8 operating system.
Mr. Ballmer said the Redmond, Wash., company recognized the importance of integrating software and hardware, a strategy that is the hallmark of rival Apple.
"With Windows 8, we didn't want to leave any seam uncovered," Mr. Ballmer said. "We wanted to give Windows 8 its own hardware companion.
"The surface is a PC. And the Surface is a tablet. The Surface is something new." Mr. Ballmer later said.
The Surface family comes with a magnetically attachable cover that has a built-in accelerometer. The inside of the cover is a full keyboard that recognizes the device when it is attached. The Surface's stand, called the Kickstand, snaps into place with an audible click. It has connection for charging and linking the tablet to peripherals and it will come with a Netflix (NFLX) application.
The Surface "works great for entertainment," said Steven Sinofsky, head of Microsoft's Windows division.
Microsoft has built a software business with $70 billion in annual revenue and left the computer hardware to allies such as Hewlett-Packard Co. (HPQ), Dell Inc. (DELL) and others. Now Microsoft will be going after tablet customers too.
A Dell spokesman said the company "remains a committed partner of Microsoft" and is continuing to develop a "full slate" of Windows 8 products.
H-P didn't immediately respond for comment.
"Don't focus too much on Microsoft competing with other PC vendors," said retail analyst Ross Rubin of NPD Group in a Tweet. "They all have the same main competitor in Apple."
The Surface is a compact 9.3 millimeters thin and weighs 1.5 pounds, very similar to Apple's iPad at 9.4 millimeters and 1.44 pounds for the model with WiFi. Besides the kickstand and detachable keyboard cover, the cover also has a trackpad.
Apple didn't immediately respond for comment on the Microsoft device.
Microsoft said the Surface would be priced comparably to other tablet computers and available simultaneously with release of Windows 8. It will appear first in the Microsoft Store online and through company retail locations.
Gartner analyst Carolina Milanesi said Surface will go on sale to capture the maximum benefit of the holiday gift season. Doing a prominent press event so far in advance is aimed at rallying applications developers behind the new platform.
"They now have a six month window to get developers they have on the PC side to join them on Windows 8 and this tablet," she said.
The Surface and other tablet versions of Windows will run on low-power chips designed by ARM Holdings PLC (ARMH). Windows 8 Pro versions of the Surface are aimed at enterprise computing customers and will run on chips made by Intel Corp. (INTC).
Microsoft made the announcement at the center of the music, film and television world, which Microsoft has already embraced to deliver content to its popular Xbox 360 game console. The Microsoft tablet will run the tablet version of Windows 8, called Windows RT. Windows 8 is the next edition of the company's flagship computer-operating system, which will for the first time run on both desktop computers and tablet devices.
Windows 8 is Microsoft's best hope for competing with devices running Google's (GOOG) Android operating system and with Apple's iPad and iPhone products. Microsoft has almost no presence in the tablet market, which is expected to double in size, with sales of 118.9 million units this year, according to research firm Gartner Inc. Apple's iPad is expected to account for a little less than two-thirds of those sales and Android machines for nearly a third.
Microsoft has spent the past two years developing Windows 8. The company is putting the finishing touches on the software before shipping it to manufacturers, which will load it on devices slated to hit stores in October or November, in time for the holiday-sales season.
Many companies have tried to compete with Apple's iPad with tablets based on the Google Android operating system, but few products have sold well. In smartphones, Android phones collectively have a majority of the market, but Apple's iPhone remains a dominant hit.
Microsoft has long manufactured keyboards, mice and other accessories, but hasn't always succeeded with consumer devices. Xbox has become the best selling gaming station, but its Zune music player, designed to compete with Apple's iPod, never caught on with music buffs. Its KIN mobile phone died a quick death shortly after it appeared in 2010. Handset maker Nokia Corp. (NOK) is now is leading phone partner.
-Ian Sherr contributed to this story. 

China Yuan Official Central Parity Rates for Friday

The China Foreign Exchange Trade System published the following official central parity rates for major currencies against the yuan Friday:

 
            Friday    Thursday 
USD/CNY     6.3089     6.3191 
HKD/CNY     0.81312    0.81446 
JPY/CNY*    7.9509     7.9687 
EUR/CNY     7.9596     7.9362 
GBP/CNY     9.8040     9.8016 
AUD/CNY     6.3136     6.2818 
CAD/CNY     6.1628     6.1422 
CNY/MYR     0.50366    0.50200 
CNY/RUB     5.1300     5.1263 
 
*per 100 yen 
 

The daily central parity rate for the yuan versus the U.S. dollar is the weighted average of prices given by market makers. The highest and lowest offers are excluded from the calculation.
In each daily trading session, the central bank allows the dollar/yuan rate to move no more than 1% above or below the central parity rate, and the yuan/ringgit and yuan/ruble to move no more than 5%. It allows other currency pairs to move as much as 3% above or below the central parity rate.

IMF Reiterates No Plans to Fund Financing for Spain, Only Monitoring

WASHINGTON--The International Monetary Fund has no plans to provide any financing for Spain, only to take a monitoring role in a EUR100 billion European bailout for the country's banks, an IMF official reiterated Thursday.
But IMF spokesman Gerry Rice repeated that the fund believes Europe should use its emergency bailout funds to take direct stakes in ailing banks as opposed to lending to governments, which then uses the cash to recapitalize banks. Otherwise, Europe risks boosting governments debt burdens and pushing borrowing costs higher.
The IMF's point has been highlighted in recent days as Germany's opposition to use euro funds for bank bailouts has fueled market concerns that Spain's bailout will mean Madrid will be unable to pay its obligations, pushing its borrowing costs to unsustainable levels.
Asked if Europe it's facing its last chance to fix the crisis at two upcoming euro summits in June--as some economists believe-- Mr. Rice said IMF Managing Director Christine Lagarde has repeatedly warned Europe of the urgency of prompt action on a comprehensive crisis plan. The IMF has said the E.U. needs to strengthen the capacity of its bailout funds, spur growth through looser monetary policy and tweaking budget-tightening plans, and creating a banking union.
Mr. Rice also said the IMF would warn world leaders at an upcoming summit of the Group of 20 largest industrialized and developing countries of the downside risks the global economy from a worsening of the euro zone crisis. He said the fund is hoping the G-20 firms up commitments to boost IMF resources, as tentatively promised earlier this year when IMF members pledged to raise more than $430 billion in new lending resources for the fund.
Officials from some key emerging economies, including China and Brazil, have indicated they may delay detailing any possible IMF cash commitments over concerns about the pace of IMF governance reform that would give them greater power within the fund.
Despite those remarks, Mr. Rice said there had been "no backtracking or delay" on new resource commitments, and "it was never expected that the package would be completed with every detail by" the G-20 meeting early next week.
The IMF spokesman also said there had been no request for financial assistance from Cyprus, despite some economist expectations that the country may soon need external financial support. 

European Forex Technicals: EUR Nearing Key Resistance Levels

Forex spot:       EUR/USD    USD/JPY    GBP/USD    USD/CHF 
 
Spot 0537 GMT     1.2583     79.42      1.5522     0.9549 
3 Day Trend       Range      Range      Bullish    Range 
Weekly Trend      Bearish    Range      Range      Bullish 
200 day ma        1.3200     79.64      1.5829     0.9190 
3rd Resistance    1.2672     79.92      1.5785     0.9657 
2nd Resistance    1.2626     79.74      1.5740     0.9595 
1st Resistance    1.2611     79.50      1.5599     0.9570 
Pivot*            1.2547     79.51      1.5537     0.9571 
1st Support       1.2552     79.30      1.5455     0.9522 
2nd Support       1.2515     79.17      1.5405     0.9514 
3rd Support       1.2435     78.99      1.5322     0.9475 
 

Intraday EUR/USD: Resistance at 1.2626 is the last line of defence protecting Monday's prominent peak at 1.2672. EUR bulls need to force a break through Wednesday's 1.2611 high and then 1.2626 in order to open the week's 1.2672 high once more. While 1.2626 caps, EUR weakness will look to put pressure on intra-day pivotal support at 1.2515, and only a move below 1.2515 would expose the 1.2435/44 lows.
Weekly chart EUR/USD trend: Bearish.

Intraday USD/JPY: Remains within the established range between Tuesday's low at 79.17 and Monday's peak at 79.92. However, Wednesday's peak at 79.74 has become a confirmed USD bull failure, suggesting a return to the 79.17 low is on the cards. A downwave equality target at 78.99 would be generated on a break below 79.17.
Weekly chart USD/JPY trend: Range.

Intraday GBP/USD: A move lower to Monday's low at 1.5455 is threatened, as resistance at the important June 7 reaction high at 1.5599 remains resolute. The setback off Wednesday's high at 1.5595 has scope to extend to 1.5405, although only a move below 1.5405 would put GBP bears in control. A push above 1.5595/99 would create additional upside scope to 1.5740 and 1.5785.
Weekly chart GBP/USD trend: Range.

Intraday USD/CHF: Support at 0.9514 is the last line of defence protecting Monday's prominent low at 0.9475. However, Wednesday's low at 0.9522 and support at 0.9514 remain within striking distance, and are likely to come under fresh pressure. A recovery above 0.9570 and 0.9595 is required to lift the tone, opening 0.9657.
Weekly chart USD/CHF trend: Bullish.

 
Forex spot:       EUR/GBP    EUR/JPY    EUR/CHF    AUD/USD 
 
Spot 0537 GMT     0.8106      99.93     1.2014     0.9959 
3 Day Trend       Range      Range      Bearish    Range 
Weekly Trend      Bearish    Bearish    Bearish    Range 
200 day ma        0.8337     105.12     1.2114     1.0252 
3rd Resistance    0.8230     100.90     1.2030     1.0200 
2nd Resistance    0.8157     100.33     1.2023     1.0146 
1st Resistance    0.8106     100.10     1.2018     1.0011 
Pivot*            0.8076      99.73     1.2010     0.9955 
1st Support       0.8050      99.29     1.2006     0.9928 
2nd Support       0.8012      98.71     1.2000     0.9889 
3rd Support       0.7972      98.55     1.1990     0.9850 
 

Intraday EUR/GBP: Remains within a bear flag continuation pattern, to come within touching distance of this week's 0.8157 peak. A push above Wednesday's high at 0.8106 is required to pave the way for further gains, but the 0.8157 peak is not expected to be broken at this stage. Support at 0.8050 protects Tuesday's important low at 0.8012.
Weekly chart EUR/GBP trend: Bearish.

Intraday EUR/JPY: There is scope for further corrective EUR gains towards 100.33, as the recovery from Tuesday's 98.86 low has room to extend. However, Monday's commanding peak at 100.90 is not expected to be broken at this stage. A setback below Wednesday's low at 99.29 is required to bring the focus back onto the week's low at 98.71, and then 98.55.
Weekly chart EUR/JPY trend: Bearish.

Intraday EUR/CHF: The corrective rally targets 1.2018, and potentially 1.2023, within a broader EUR bearish tone. A return to support at 1.2006 remains the main threat though, which defends 1.2000 and the April 5 spike low at 1.1990. Orderly corrective gains will be restricted by 1.2023, and only a move above 1.2023 would create risk of spikes to 1.2030 and 1.2076.
Weekly chart EUR/CHF trend: Bearish.

Intraday AUD/USD: A trading range has been established between 0.9821 and Monday's 1.0011 high. Consolidation of the short-term rally from the June 1 reaction low at 0.9581 is underway, and a break below 0.9928 would create additional downside risk to 0.9889 and 0.9850. Only a fresh wave of AUD bull pressure would manage to force an upside break through 1.0011, opening 1.0146 and then 1.0200.
Weekly chart AUD/USD trend: Range.

* The pivot is the sum of the high, low and close divided by 3.

For more technical analysis see: Dow Jones Newswires, N/DJTA; Bloomberg, NI DJTA; and Reuters key word search "INSI-DJN"

By Francis Bray; Dow Jones Newswires; +44 (0)207 842 9249; francis.bray@dowjones.com

Francis Bray is Dow Jones' chief technical analyst for Europe, and has worked as a technical analyst and trader for 20 years in London, Barcelona and Guernsey.

Data provided by CQG International Ltd.

This is a financial news and information service. It is provided in general terms and does not take account of or address any individual user's position. To the extent that this article includes suggestions as to various possible investment strategies which users might consider, it does so in only general terms without reference to the personal factors which should determine any user's investment decisions. Nothing contained in this service constitutes personalized investment advice. Dow Jones does not warrant the accuracy, completeness or timeliness of the information in this article, and any errors shall not be made the basis for any claim against Dow Jones. The author does not invest in the instruments or markets cited in this article. This article does not constitute or form part of any invitation or inducement to buy or sell any security.

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U.S. Stocks Turn Positive

Reported earlier: U.S. Stocks Mixed as Market Downplays Economic Data, EuropeBY ALEXANDRA SCAGGSNEW YORK--U.S. stocks erased early-morning losses in choppy trading, shrugging off weak data and worries about Europe.The Dow Jones Industrial Average fell 9 points, or 0.1%, to 12567. The Standard & Poor's 500-stock index was flat, at 1323, and the Nasdaq Composite was up 4 points, or 0.2%, to 2847.U.S. retail sales slipped for the second consecutive month in May, the first string of declines in nearly two years. While the measure fell by less than expected in May, April retail sales were revised downward into negative territory. Businesses held more inventory than expected in April because of sluggish sales.J.P. Morgan Chase & Co. rose 2.3%, and was the fourth-largest gainer in early trading. Chief Executive Jamie Dimon's testimony to the Senate gave the impression the bank wouldn't see crippling fallout from its unexpected $2 billion trading loss."He's appeasing the stock market here, so now we're calm to the fact that J.P. Morgan isn't going to get decimated" by its losses, said Ryan Detrick, chief technical strategist with Schaeffer's Investment Research. "That's led us back a bit."European markets erased early gains to turn mostly lower as worries about Spain's debt and banking crisis festered and investors responded to weak economic data. Euro-zone industrial output was at its weakest level since September 2010 in April.The Stoxx Europe 600 was down 0.3%, after being up 0.4% at its intraday high.Asian markets were mostly higher following Tuesday's U.S. gains, with Japan's Nikkei Stock Average rising 0.6% and China's Shanghai Composite climbing 1.3%.Crude-oil futures slipped 0.2% to $83.46 a barrel, while gold futures rose 0.6% to $1623 an ounce. The U.S. dollar lost ground against the euro and the yen.In corporate news, shares of Dell rose 4.5% after the computer maker said it plans to start paying a quarterly cash dividend of 8 cents a share.Johnson & Johnson gained 1.1%. The blue chip health-care company said it received regulatory clearance to close its $19.7 billion bid for medical-device maker Synthes. Analysts from J.P. Morgan Chase, Jefferies & Co. Inc., and Raymond James Financial subsequently upgraded the stock.Facebook edged up 0.8%, putting it on track to post back-to-back gains for just the second time since going public. The stock rose 1.5% Tuesday to close at a one-and-a-half-week high.Scotts Miracle-Gro dropped 8% after announcing it expects to fall short of estimates of full-year earnings and sales growth it had provided earlier as a result of slowing consumer demand and lower-than-expected margin rates.Printing company 3D Systems fell 5.6% after the company said it is offering shares of its common stock for sale to the public. 

MARKET TALK: Sell Bunds/Buy Tsys Good Hedge on Greece -Scotia

The best way to ride out of the Greek elections is not to short stocks, but to sell German bunds and buy Treasury bonds, says Charles Comiskey, head of Treasury trading at Bank of Nova Scotia. He argues that bunds would be losers as Germany might need to channel more money to safeguard the monetary union, and the rising fiscal burden is what has fueled worry that bunds could lose their safe-haven status. That concern was underlined after Pimco's Bill Gross indicated on Tuesday he dislikes bunds. A comfort, though: The 10-yr bund auction Wednesday didn't show investors fled in droves. The underperformance of bunds vs Treasurys has narrowed the yield gap sharply. Recently, the benchmark 10-yr Treasury note trades about 15bps above that of 10-yr bund, down from 37bps just a week ago and a recent peak of 50bps in April.

2012.06.12 07:50:18 Interbank Foreign Exchange Rates At 03:50 EST / 0750 GMT

                         Latest       Previous   %Chg    Daily    Daily   %Chg 
Dollar Rates                               Close            High      Low  12/31 
 
 
USD/JPY Japan            79.62-64       79.43-46  +0.24    79.69    79.18  +3.53 
EUR/USD Euro            1.2494-96      1.2481-83  +0.10   1.2521   1.2452  -3.59 
GBP/USD U.K.            1.5501-04      1.5484-89  +0.11   1.5522   1.5464  -0.25 
USD/CHF Switzerland     0.9610-12      0.9620-24  -0.11   0.9644   0.9592  +2.54 
USD/CAD Canada          1.0303-08      1.0313-18  -0.10   1.0324   1.0292  +0.94 
AUD/USD Australia       0.9895-97      0.9862-66  +0.32   0.9917   0.9852  -3.06 
NZD/USD New Zealand     0.7714-16      0.7688-93  +0.32   0.7732   0.7672  -0.79 
 
Euro Rates 
 
EUR/JPY Japan            99.49-52       99.14-19  +0.35    99.78    98.74  -0.05 
EUR/GBP U.K.            0.8059-61      0.8059-62  -0.01   0.8080   0.8053  -4.69 
EUR/CHF Switzerland     1.2007-12      1.2008-12   0.00   1.2012   1.2008  -1.33 
EUR/CAD Canada          1.2874-80      1.2871-79  +0.01   1.2891   1.2856  -2.68 
EUR/AUD Australia       1.2624-28      1.2649-58  -0.22   1.2653   1.2610  -0.55 
EUR/DKK Denmark         7.4321-34      7.4310-49   0.00   7.4361   7.4262  -0.04 
EUR/NOK Norway         7.5383-418     7.5439-506  -0.10   7.5489   7.5262  -2.65 
EUR/SEK Sweden          8.8500-42    8.8933-9003  -0.50   8.8982   8.8494  -0.72 
EUR/CZK Czech Rep.      25.628-46     25.584-643  +0.09   25.646   25.538  +0.16 
EUR/HUF Hungary         296.09-36      297.30-97  -0.47   297.68   295.84  -5.99 
EUR/PLN Poland         4.3169-222     4.3470-543  -0.71   4.3558   4.3152  -3.31 
 
Yen Rates 
 
AUD/JPY Australia        78.79-82       78.33-42  +0.55    79.03    78.10  +0.75 
GBP/JPY U.K.            123.43-50      122.98-03  +0.36   123.69   122.59  +3.28 
CAD/JPY Canada           77.24-30       76.98-07  +0.33    77.43    76.77  +2.57 
NZD/JPY New Zealand      61.42-47       61.06-13  +0.58    61.61    60.82  +2.74 
 
Other Dollar Rates 
 
USD/CZK Czech Rep.      20.509-24     20.497-543  -0.02   20.566   20.404  +3.87 
USD/HUF Hungary       236.97-7.18      238.19-70  -0.57   238.85   236.28  -2.49 
USD/DKK Denmark         5.9480-88      5.9537-59  -0.11   5.9692   5.9360  +3.68 
USD/NOK Norway          6.0330-56      6.0440-86  -0.20   6.0511   6.0210  +0.97 
USD/PLZ Poland          3.4549-90      3.4827-82  -0.82   3.4943   3.4484  +0.29 
USD/RUB Russia          32.824-48     32.677-743  +0.39   32.899   32.624  +2.13 
USD/SEK Sweden          7.0827-58      7.1252-98  -0.61   7.1333   7.0710  +2.97 
USD/ZAR S. Africa      8.4080-102     8.4641-758  -0.72   8.4728   8.3784  +3.98 
 
USD/CNY China          6.3699-720      6.3623-44  +0.12   6.3775   6.3706  +0.82 
USD/HKD Hong Kong       7.7578-84      7.7601-09  -0.03   7.7603   7.7582  -0.11 
USD/MYR Malaysia       3.1793-858     3.1663-728  +0.41   3.1847   3.1726  +0.16 
USD/INR India        55.988-6.003     55.610-700  +0.61   56.070   55.673  +5.60 
USD/IDR Indonesia         9443-93         9405-5  +0.67     9443     9430  +4.82 
USD/PHP Philippines  42.871-3.112   42.919-3.020  +0.05   42.883   43.080  -1.96 
USD/SGD Singapore       1.2837-44      1.2860-67  -0.18   1.2868   1.2822  -0.96 
USD/KRW S. Korea    1168.39-70.80   1170.39-2.80  -0.17  1173.39  1168.30  +0.78 
USD/TWD Taiwan      29.899-30.000     29.899-960  +0.07   29.949   29.950  -1.04 
USD/THB Thailand       31.605-726      31.628-88  +0.02   31.699   31.626  +0.21 
USD/VND Vietnam        20822-1473     20945-1015  +0.80    20822    21473  +0.52 
 
USD/BRR Brazil          2.0621-86      2.0607-72  +0.07   2.0637   2.0578 +10.70 
USD/MXN Mexico        14.0779-860    14.0891-979  -0.08  14.1151  14.0410  +0.97 
USD/ARS Argentina      4.4831-904     4.4859-932  -0.06   4.4897   4.4878  +4.13 
 
Source: ICAP Plc.