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European Forex Recap

F/X Solutions

European Forex Recap

Date:  Thursday, March 22, 2007 12.00am until 7.00am EST

Market Recap:

In earlier news

FOMC leaves US interest rates unchanged at 5.25% as expected with a unanimous vote.

Dow Jones Industrial Average closes up 159.42 points at 12,447.52 on Wednesday.

• Opening levels:-GBP/USD 1.9682/87  EUR/USD 1.3383/86  USD/JPY 117.54/57  USD/CHF 1.2091/95  USD/CAD 1.1564/69  AUD/USD 0.8067/71  NZD/USD 0.7088/92 (11.45am EST)
• Bank of Japan Governor Fukui once again on the wires reiterating his comments over the past few weeks that the BOJ will adjust rates as the economy dictates and that they are watching the market impact on the economy carefully. Dollar-yen was unphased on his comments trading at 117.43/47 (1.20am EST)
• Japanese Nikkei 225 closed Thursdays session at 17,419-20 higher by 256.00
• UK Retail sales for February released stronger than expected at +1.4% m/m +4.9% y/y, which was the strongest growth in over 2 years. Cable on the news jumped from  1.9675 to a high of 1.9720 (5.30am EST)
• Euro-dollar has been slowly grinding lower this morning since the London open falling from 1.3390 to a low of 1.3352. The latter push to the lows reportedly by a US Investment bank (6.00am EST)
• Euro-land industrial new orders in January +0.2% m/m +12.0% y/y from +1.8% m/m +1.9% y/y in December (6.00am EST)
• Euro-land trade surplus narrowed in January +?‚¬1.3 billion from +?‚¬2.0 billion in December (6.00am EST)
• Dollar firms up as cable slips below 1.97 to trade 1.9694/99 and dollar-yen buoyant at 117.69/72 (6.25am EST)
• Option names and Swiss names seen buying dollar-yen taking the currency to a high of 117.85 (6.50am EST)
• Closing levels:-GBP/USD 1.9691/96  EUR/USD 1.3354/57  USD/JPY 117.83/86  USD/CHF 1.2115/19  USD/CAD 1.1572/77  AUD/USD 0.8066/70  NZD/USD 0.7096/00 (7.00am EST)

Economic data due out later today

8.30am   US weekly jobless claims for the week ending March 17th

10.00am Belgian Business Confidence for March

10.00am US Leading Indicators for February

Session Ranges

GBP / USD:                 1-9649             1.9728

EUR / USD:                 1-3352             1-3390

USD / JPY:                  117-25             117-90

USD / CHF:                 1-2082             1-2124

USD / CAD                 1.1560             1.1580

AUD / USD                 0-8055             0.8080

NZD / USD                 0-7080             0-7112