Euro

Good Morning:

German exports unexpectedly dropped in January, which pushed the Euro lower.  This is seen as another sign that the European economy is still struggling to gain traction from the global recession.
The GBP remains weak as political and economic woes continue to plague the U.K.

The Bloomberg Professional Global Confidence Index fell to 53.8 from 54.9.  This survey shows that global confidence dropped for a second month, with Greece’s debt crisis being the main culprit in undermining the global recovery. 

Good Morning:

Greek Prime Minister Papandreous announced an additional $6.6 billion of deficit cuts for the country.  As EU members contemplate a bailout package for Greece, the Greek government must prove to it’s allies that they can control  their deficit problems.  Public workers have various protests planned to demonstrate against any reduction in benefits.
The GBP rose as UK consumer confidence jumped to a 2 year high.  The Euro picked up overnight as Greece announced their deficit reduction plan.

Good Morning:

The GBP slid below $1.50 for the first time in 10 months, as polls show that the Tories have the smallest lead over the Labour Party in more than 2 years-thus any legislation to assist the economy may get stalled in Parliament.
On another note-the JPY fell as investors look for higher-yielding assets.
The Euro continues to be under pressusre as the debt issues that are hurting Greece may (are) spead to other Souhern European countries.

World equity markets rose-and US Futures are pointing to a higher oipening this morning.

Oil:$79.57 Gold:$1112.70

Eur/Usd made a new at 1.3852 from Friday’s low of 1.3863. Eur/Usd started to free fall after the better then expected GDP number out of U.S. from a high of 1.3970 to a low 1.3863. Which also drag down the Eur/Jpy to a new low of 125.10 with Usd/Jpy trading around 90.30 area. Over the weekend Usd/Jpy made a new low of 89.87 which again push the Eur/Jpy to a new low for the year traded at 124.59. Right now Eur/Jpy is trading at 125.00, Eur/Usd trading at 1.3860 and Usd/Jpy trading at 90.10.

Here you see the Eur/Usd make the new low this Sunday afternoon.

Eurozone Unemployment Rate came in at 10.0%, better than the 10.1% expected and the prior reading of 10.0% was revised down to 9.9%.

Eurozone CPI Estimate y/y came in at 1.0%, weaker than the 1.2% expected but stronger than the 0.9% prior reading.

Eur/Usd sold off slightly, off about 5 points to 1.3962.

Good Morning:

The Euro fell against the USD as a report on German investor confidence printed lower than expected.  This lead to speculation that the Euro Zone’s  economic  recovery is not as strong as initialy thought.  Concerns in the EZ about Greece and other sovereign debt is causing overall dissapointment in the EZ and how it is being managed.

French Flash  Manufacturing PMI came in at 54.4, weaker than the 54.7 expected.

French Flash  Services PMI came in at 59.3, weaker than the 60.1 expected.

Eur/Usd sold off to new session low of 1.4510 upon release of weaker than expected figures. The pair has currently rebounded to 1.4528, not far off from pre-number level.

Good Morning:

Speculation that improving US economic data may spur the FED to exit some stimulus measures that were put in place to combat the global recession helped boost the USD overnight. 
The FOMC starts a 2 day meeting today-on Wed we will see their decision and statements on interest rates.

The Euro continues under pressure as news of another Austrian bank having problems surfaces.  Also the issue of sovereign debt in Greece, along with concerns about Spain, Italy and Ireland also added to the Euros decline.

German Factory Orders m/m came in at -2.1%, weaker than the 0.6% expected.

Eur/Usd currently trades at 1.4707, relatively unchanged from pre-number.