European morning wrap: Slow forex market ahead of ECB, BOE rate decisions

Van Rompuy report on economic union: Preparatory work on a single EU bank supervisor should begin in earnest in early 2013 Adviser to LDP leader Abe: Govt may submit revision to BOJ law before July.  BOJ should buy unlimited amount of Japanese govt bonds to achieve 2% inflation New Komeito party head Yamaguchi: Forcing 2% inflation target hurts BOJ independence UK's Osborne: Economic situation more difficult than hoped.  UK faces difficult economic outlook Greek PM: Our debt is seen as being sustainable, but for this we need growth French auction results Euro zone Q3 GDP confirmed at -0.1% q/q, -0.6% y/y French Q3 Ilo jobless rate 10.3%, up from 10.2% in Q2, 13 year high Greek unemployment up at 26.0% in September from 25.3% in August Swiss unadj jobless rate 3.1% in November, up from 2.9% in October. In line with Reuters' median forecast Swiss November CPI -0.3% m/m, -0.4% y/y,  weaker than median forecasts of flat for both UK October lobal trade deficit -£9.539 bln, weaker than median forecast -£8.8 bln This morning had a real end of year feel about it. Little movement ahead of European Central Bank and Bank of England rate decisions.  No change expected from either. Eurostoxx hits new 212 high this morning, presentlup +0.8%. EUR/USD up marginally at 1.3075 from early 1.3055.  Middle Eastern buying noted this morning.  Buy stops seen through 1.3085, sell stops through 1.3040. USD/JPY effectively unchanged at 82.40. Cable 20 pips firmer at 1.6110. AUD/JPY up 1.0485 from early 1.0460.  Barrier option interest at 1.0500 looms large,  defensive sell orders noted just infront.