Dollar Ends Mostly Lower
After an active start, foreign exchange markets quickly pulled in their horns after London's departure. Following the New York open, dollar sellers stepped to the forefront, pressing the EUR solidly over 0.9040. Sources reported the return of real money flows, accounts seen buying EUR-USD aggressively through the morning session. Shorter term prop players, along with intra day longs were happy to square long positions near today's highs. EUR-USD movement was confined to a 10 pip range literally through the entire afternoon. USD-CHF flirted with the 1.6300 region, and although buyers were noted under the figure, the upside was confined to a rally best described as a dead cat bounce. USD-JPY came under pressure early as well, but here too, support stepped in near 122.00.
Elsewhere, the dollar block remained rangebound, the A$ and C$ perking up just modestly. Miserably performing equities had little effect on the dollar throughout the day. Tomorrow on the data front, the market will be nervously awaiting October consumer confidence data, S&P looking for a 97.0 reading from last month's 97.6.