European morning wrap: No neck braces needed today

ECB'S Asmussen: Monetary policy cannot be overburdened, responsibility for fighting debt crisis with government EU Greece task force's Reichenbach: Sees some progress in implementation of structural funds IMF sees World growth at 3.3% in 2012 - ANSA Spanish auction French auction (vol 1) French auction(vol 2) ECB's Dombret:  Record high use of ECB's 3 year loan "not a negative sign" -(yer right) China Center for forecasting science: Slow growth, shrinking trade surplus, dollar demand will slow yuan's rise. Yuan will rise about 3% in 2012 China Formin: Important to implement G20 consensus to ensure ample IMF funds to cope with crisis That was betta. Far more civilised this morning than that nonsense we experienced (suffered through) yesterday. EUR/USD up at 1.2900 from early 1.2855, having been as high as 1.2919. Early dip ran into buying from the BIS around 1.2840 and that was the floor in place.  At around the same time the boys from Basle were seen buying AUD/USD in the 1.0370s. Anticipation of good euro zone auction results lent the pairing some support and we'd already peeked over 1.2900 fleetingly before the first ones came out.  We dipped slightly on release of good Spanish results (case of buy the rumour, sell the fact I guess), but it wasn't too marked a decline (into 1.2870's if my memory serves me right.) We were soon back on our way higher.  As mentioned we've been to 1.2919 so far.  Reserve Bank of India notable seller 1.2910+ and reports of Middle Eastern sell orders 1.2920/30 serving to slow the ascent. Real money also been selling again this morning, but let's be honest when aren't they selling ;) More buy stops seen through 1.2930 now.