- Greek political parties to meet with President again tomorrow
- Greek President says banks could collapse on deposit outflows
- Periphery bonds and CDS hit hard
- Oil hits 2012 low of $93.65
- Portugal growth estimates lowered
- Greek Treasury running dry
- French bill sales as expected
- ECB buys no bonds for ninth week
- US 10-year yields hit lowest since Oct
- EU's Barroso opens door to Greek exit
- SNB's Jordan: CHF still overvalued
- California deficit 70% larger than projected in January
- S&P 500 falls 1.1% to 1338 - low close since Feb
- GBP leads, EUR and NZD lag on day
Typical recent US session where risk trades are hit in the early going and then mount a modest comeback before slumping into the stock market close. EUR/USD broke below stops at 1.2855 in early trading and touched 1.2825 at the lows. A modest rebound above intraday buy stops at 1.2850 ran to 1.2857 but slumped to 1.2834 later.
USD/JPY (NYSEARCA:FXY) hit a 3-day low of 79.68 from 80.19 midway through Europe as US T-note yields hit a 6-month low. Traders suspected the move might be disorderly enough to justify Japanese MOF intervention and got out of the way, leading to a rebound to 79.86.
Cable bucked the trend, partly due to EUR/GBP selling, and jumped to 1.6120 from 1.6060. ECB fixing demand was a likely driver.
The better action was outside of FX as oil and periphery bonds were trounced. It's only a matter of time before the volatility returns to currencies.