The euro moved lower vis-à-vis the U.S. dollar today as the single currency tested bids around the US$ 1.4520 level and was capped around the $1.4660 level. Traders dumped the common currency on news that Oesterreichische Volksbanken AG, Austria's fourth largest bank, has been placed on a watch list by the central bank and financial market regulator. Additionally, the Austrian government yesterday agreed to nationalized troubled lender Hypo Group Alpe Adria. Moreover, Greek Prime Minister Papandreou spoke yesterday and pledged to reduce the country's deficit from 12.7% of GDP to 3% in 2013. Data released in the U.S. today saw the New York Empire State manufacturing index decline to 2.55 in December from 23.51 in November. Also, the November producer price index was up 1.8% m/m and 2.4% y/y at the headline level and up 0.5% m/m and 1.2% y/y at the ex-food and energy level. Also, November industrial production printed at +0.8% and capacity utilization printed at 71.3%. Additionally, net long-term TICS flows fell to US$ 20.7 billion in October from US$ 40.7 billion while October total net TICS flows came in at -US$ 13.9 billion, a shar reversal from US$ 133.5 billion. In eurozone news, the German government reported it needs to consolidate €25-30 billion in spending in 2011 to meet budgetary requirements. Traders are now citing growing growth differentials between the U.S. and eurozone that favour the U.S. dollar. Data released in the eurozone today saw the German ZEW December economic sentiment index fall to 50.4 from 51.1 in November. Also, French November consumer price inflation was up 0.1% m/m and +0.4% y/y. Euro bids are cited around the US$ 1.4505 level.