Also rumours that the US may be getting into Quantitative easing could begin as soon as this week. This kind of talk sent USD plummeting. On the data front, CPI figure for January came in at 0.3% vs. 0.2% forecast. US share markets, Nasdaq was down -1.59% points whilst Oil down $0.54 ending the New York session at $39.20 per barrel.
The Euro gained on the bad news from the US. There are still concerns about Eastern European debt a response from EMU expected this week. On the data front EuroZone PMI’s for February came in at a new low with Services dropping to 38.9 also Manufacturing to 33.6. EUR/USD traded with a low of 1.2558 before closing the day at 1.2848 Data coming out today is German Whole Price Index.
The Sterling remained volatile with denial of nationalisation more banks. Against the USD, it reached a low of 1.4152 and high of 1.4484 before ending 1.4452 at the end of the New York session. On the data front, Retail Sales for January came in higher than expected 0.7% vs. -0.1% forecast and looking ahead, Nationwide House Prices Index figures are released today.