European Morning Wrap- Weak Q4 GDP Data Sends Euro Lower
EZ Q4 prelim GDP-0.6% qq -0.9% yy- weakest in 4 years
German Q4 prelim GDP -0.6% qq +0.1 yy
French Q4 prelim GDP -0.3% qq 0.0% yy
Italian Q4 prelim GDP -0.9% qq -2.7% yy
ECB Vice President Constancio suggested negative interest rates are a possibility
Italian police arrest former Monte de Paschi FD
BOJ governor Shirakawa says monetary policy not aimed at FX rates
Equity markets retreat
All in all not a lot of love in the house for the Euro this morning as a combination of weak Q4 GDP data and comments have sent EURUSD to 3 week lows around 1.3315.
Good size sovereign buying interest has held it up thus far but decent sellers in the rallies too.
Cable had option related support at 1.5500 before finally breaking through but we've seen little follow on since. Talk of more bids lined up at 1.5485. Holding above 1.5500 again currently
USDJPY ran into sellers at 93.70 and didn't need much convincing to come lower with EURJPY the driver
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