ForexLive US wrap; US double dip fears recede

US weekly jobless claims fall 1,000 to 428,000 Agreement reached with German banks on Greek debt rollover; EUR 3.2 bln contribution IMF: Dollar falls slightly to 60.7% of global reserves, euro edges up to 26.6% share in Q1 Chicago PMI much firmer than expected at 61.1 in June versus 56.6 in May; market expected decline Greece passes second austerity law Portuguese PM: New budget data show conditions deteriorating KC Fed index jumps to 22 in June from -2 in May QE2 comes to an end with final $4.9 bln bond purchase Papandreou asks EU to accelerate loan disbursements to Greece to improve growth Bloomberg: Geithner may leave US Treasury after debt ceiling deal completed S&P adds another 1% to 1321 US 10-year note rises 4 bp to in yield to 3.16% Oil unchanged at $94.80; grains fall sharply Lots of activity early in the session as a second positive Greek austerity vote and a surprising rebound in the Chicago PMI sent risk trades northward.  EUR/USD rallied as high as 1.4539 before being capped by a resistance line drawn off the spring highs at 1.4942. Afternoon profit-taking was accelerated a bit on informed speculation from Bloomberg (AKA a leak) that Geithner will quit later this summer. Geithner is seen as a "weak dollar guy", so anyone is likely to be more of a dollar hawk than him...We end the day near 1.4500. USD/CHF and EUR/CHF roared higher after the cross broke above its 21-day moving average for the first time since mid-April. The move got particularly ugly between 1.2100 and 1.2150 as all manner of stops were triggered. Momentum players sent the cross as high as 1.2245. We end at 1.2195. USD/CHF. Spiked to 0.8464 and closes around 0.8400. USD/JPY was in demand after Chicago PMI and ahead of the 15:00 GMT fixing as real money sold JPY on one of the semi-annual dividend payment dates for Japanese corporations. (December 31 is the other). 80.86 was the spike high before drifting off to the 80.50 area in the afternoon. AUD and CAD extended their gains today on hopes the US lull in Q2 may truly be "transitory" after all. AUD reached 1.0750, USD/CAD 0.9626.