European morning wrap: EUR/USD dips early, but important support holds

Ifo June business climate falls to 105.3 from 106.9 in May, weaker than Reuter's consensus of 105.9 German FinMin's Streiter: No agreements to be made at Rome meeting today German FinMin: Want to push transactions tax today with "all emphasis" Dutch FinMin:  Says remains opposed to financial transaction tax, as it would be very damaging for the Dutch economy German Banking Group's Kemmer: Spanish banks should be capitalized through EFSF SNB quarterly report SNB's Danthine:  Franc cap is 'extraordinary, measure Italy June consumer confidence 85.3, down from 86.5 in May and weaker than Reuter's median forecast of 86.0 Greece could get a 2 years extension to implement reforms - Handelsblatt Greece's PM unveils cabinet to 'exit' crisis - ekathimerini Mario Monti: We have a week to save the eurozone - The Guardian Debt crisis: Desperate Monti needs Merkel summit deal to stop revolt at home - AEP at The Telegraph EUR/USD sits at 1.2552, unchanged on the day.  The pairing did come under a little early pressure as Italian and Spanish govt bond yields crept higher. Buy orders were seen clustered down around important technical support at 1.2520 and they duly formed a base for subsequent recovery.  Asian central bank and large corporate notable buyers down around the lows.  All pretty dull fare, when all said and done. Sell stops seen through 1.2520. USD/JPY sits at 80.25, little changed from early 80.30.  We did see an early rally which triggered buy stops through 80.45, but we only got as high as 80.52 before running out of steam.  More buy stops seen through 80.60. Cable sits at 1.5610, effectively unchanged on the day. Kinda sums it up really.