More EUR, GBP Loses Ahead

By Ashraf Laidi
01 October 2008 @ 09:54 am EDT

Smaller than expected 8K decline in ADP report on private payroll jobs accelerates dollar buying already emerging on increased reports of short-term USD funding among European banks. The 10 am release of the ISM report may destabilize the dollar as long as the headline index remains above $48 (exp at 49.5v from 49.9). Traders are also willing to further punish the EUR and GBP as the ECB and BoE affirm their monetary policy intransigence.

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