Currency Tech

R 2: 1.3500
R 1: 1.3455
CURRENT: 1.3313
S 1: 1.3232
S 2: 1.3090

R 2: 1.0030
R 1: 0.9915
CURRENT: 0.9886
S 1: 0.9805
S 2: 0.9755

R 2: 1.5910
R 1: 1.5890
CURRENT: 1,5866
S 1: 1.5815
S 2: 1.5720

R 2: 83.69
R 1: 83.13
CURRENT: 82.91
S 1: 82.41
S 2: 81.98

Market Brief

Asian stocks dropped after five weeks of gains as China took more steps to prevent overheating of their economy by raising bank reserve ratio by 0.5% on Friday for the fourth time in two months and EU finance ministers meet today to discuss on their debt-crisis strategy. The MSCI Asia Pacific Index dropped 0.5%, Shanghai Composite dropped 2.6% as China and US are to meet on Wednesday to talk on the present economic situation and strengthening of the Yuan while the Chinese premier said that inflation can hardly be the main factor in determining exchange rate policies.

The EURUSD snapped five days of gains trading at a low of 1.3327 after climbing to a one-month high of 1.3457 on Friday on concerns of worsening debt crisis in the EU region and finance ministers meet today to revamp strategy. BOJ Governor Shirakawa said that EU markets remain unstable because of long-running crisis and that there are worries of the debt issues to stay for a longer period of time. The currency also dropped as last week's 3.7% growth was seen to be excessive. The AUDUSD remained at lows of 0.9866 as rains continue to shut mines and flood situation not being resolved, USDJPY traded at 82.90 on Dollar weakness, GBPUSD remains strong at 1.5885 as UK home prices increased by 0.3% after dropping 3% last month.

Fitch cut Greece's debt rating to BB+ or junk with a negative outlook due to heavy public debt burden but the Greek Finance Minister said that Greece will not be restructuring its debt when other EU nations are calling it a better solution for Greece. Germany has eased its opposition to expand the EU rescue fund of 440 Billion Euro and said that Portugal can get by without asking for any bailout after last week's successful bond auctions eased concerns on the nations requiring bailout money.

Focus for today remains EU finance ministers meet on debt-crisis issues and the Bundesbank releases monthly report. US markets remain closed today on public holiday with Fed's Plosser speaking on monetary policy.