European morning wrap: Busy morning see little change

Spain's Rajoy: Spain faces risk of 'astronomical' borrowing costs. Spain faces serious risk markets don't lend to it ECB council discussing Greek bank recapitalisation at meeting today - Source BOE inflation report: UK growth prospects "unusually uncertain", euro zone debt crisis poses biggest risk BOE's King: Path to recovery likely to be slow and uncertain BOE's King: Euro zone is tearing itself apart without any obvious solution Iceland central bank raises key interest rate to 5.50% from 5.00% German auction results French auction results More French auction results UK April claimant count -13,700, better than median forecast of +5,000, largest monthly fall since July 2010;  claimant count rate 4.9%, better than expected 5.0% Germany FinMin: Greece must be ready to accept help Irish FinMin: Will have less than full membership of the euro zone if country rejects fiscal treaty referendum (yer think!!) Swiss ZEW investor sentiment -4.0 in May, down from +2.1 in April, but not quite as bad as median forecast of -8.0 Dutch govt reaches deal on austerity package details Irish referendum no to EU treaty will prompt euro exit, business leaders warn - Guardian Italy's banks shaken as economic slump deepens - Telegraph Busy morning, but at the end of the day most major spot and cross pairings seeing little or no net change. Main feature is some sterling weakeness, which came after release of latest quarterly inflation report and subsequent King press conference comments. Both point to increased chances of additional QE. Cable down at 1.5915 from early 1.5965, having been as low as 1.5888 (EBS) EUR/GBP up at .7985 from around .7963.  Talk now of sell stops in cable through 1.5875.   EUR/USD effectively unchanged at 1.2715.  Inbetween we've been down to 1.2681 and up to 1.2742. Talk of barriers at 1.2650 and 1.2625, for what that's worth (not too much as we haven't seen a decvent defence of well-touted barrer interest since 1.2900) Sell orders seen clustered 1.2740/50, buy stops above there. USD/JPY effectively unchanged at 80.38.  Corporate sell orders seen clustered up at 80.55/65.