Risk aversion was pared a touch in London trading as markets remain mixed in terms of what to expect out of Treasury Secretary Geithner today. The feeling is that whatever plan he announces will be rather short on details and thus the overall market reaction looks likely to be for less risk taking. Equity marts in Europe were down just a modest -0.5% on average at last look. Economic data out of the eurozone continued to come in bleak as well with French industrial production plunging to an annual run-rate of -11.1% in December after a -9.1% result the prior month.
EUR/USD reversed overnight losses and added more than 100 pips and was sitting right near the 1.30 barrier at the NY open. The yen crosses were modestly changed as the price action in risk trades remained lackluster. USD/JPY shed -18 pips into 91.10/20 while EUR/JPY rose about 70 points towards the 118.40/50 zone. GBP/USD slipped almost -50 pips to 1.48 while USD/CAD was relatively unchanged around the 1.2230 mark.
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* 2/10 14:00 GMT US New York Fed's Dudley Speaks About Inflation
* 2/10 15:00 GMT US Wholesale Inventories DEC -0.60% -0.70%
* 2/10 15:00 GMT US IBD/TIPP Economic Optimism FEB 45.4 - -
* 2/10 15:00 GMT US Treasury's Geithner Testifies on TARP
* 2/10 18:00 GMT US Bernanke Testifies on Fed Programs
* 2/10 22:00 GMT US ABC Consumer Confidence 8-Feb -52 -52