LONDON (MNI) – UK house prices were 0.3% higher in July from June and stood 1.5% down on July 2010, Communities and Local Government said today. The comments followed the release of the RICS survey of surveyors’ price expectations overnight, which showed continued weakness in the UK housing market. –London newsroom: 4420 7862 7499; email: [...]

Still bogged down around 77.00 despite the dollar strength elsewhere on the back of all the China/Italy bond buying talk which doesn’t appear to be on the menu. EUR/JPY ‘s looking sick again since the breakdown through 105.00 earlier,  with a low of 104.41. A possible retest now of yesterday’s low of 103.89 can’t be ruled [...]

We’re back over 1.3600, presently at 1.3605.  The boys from Basle have suceeded in pushing back the tide of selling.  They must feel like King Canute…. Is that it for the morning? I bloody well hope so!!  Enough of all this nonsense.  Italian auction results up soon    Oh dear…………..

–Jul Global Goods Trade Deficit Stg8.922bn vs Stg8.873bn Jun –Jul Non-EU Goods Trade Deficit Stg5.505bn vs Stg5.718bn Jun –Jul Total Trade Deficit Stg4.45bn vs Stg4.496bn Jun –Jul Global Trade Gap Ex-oil/erratics Stg8.243bn vs Stg7.678bn Jun –Jul EU-27 Trade Deficit Stg3.417bn vs Stg3.155bn Jun LONDON (MNI) – The UK’s goods trade deficit was virtually unchanged in [...]

–Aug CPI +0.6% m/m; +4.5% y/y vs Jul 4.4% y/y; in-line with median –Aug core CPI +0.7% m/m; +3.1% y/y vs Jul 3.1% y/y; above median –Aug RPI +0.6% m/m; +5.2% y/y; Aug RPIX +0.6% m/m; +5.3% y/y LONDON (MNI) – Consumer price inflation rose to its highest level in three months in August as [...]

UK DATA: Aug CPI +0.6% m/m; +4.5% y/y vs Jul 4.4% y/y; in line median –Aug core CPI +0.7% m/m; +3.1% y/y vs Jul 3.1% y/y; above median –Aug RPI +0.6% m/m; +5.2% y/y; Aug RPIX +0.6% m/m; +5.3% y/y ———————————————————————— Consumer price inflation rose to its highest level in three months in August as [...]

Pretty much in line with expectations  with a small bounce in cable towards 1.5800 from 1.5780 Aug Core CPI above expectations  up 0.7%m/m, +3.1% y/y vs July  3.1% y/y Aug RPI +0.6%m/m, +5.2% y/y Aug RPIX +0.6% m/m, +5.3% y/y July trade balance - £8.922bln  agst June- £ 8.873 bln, Non EU -$5.505 bln agst  -£5.71bln in [...]

Was holding up well with EUR/AUD taking the brunt of the earlier euro pressure, but bids around the earlier Asian lows of 1.0303 were filled and we’ve slumped to  1.0262, just ahead of yesterday’s 1.0256 low. EUR/AUD also bounced from lows of 1.3180after  Asian highs around  1.3239. Not hearing  a lot in terms of orders this [...]

In recent trade. We’re at 1.3568 from session low 1.3556 in extremely volatile trade. My head is going to explode!! SERENITY NOW!!! SERENITY NOW!!! UPDATE:  Some option-related buying also being seen around the lows.

LUXEMBOURG (MNI) – The monetary policy of the Eurosystem is still accommodative despite a tightening of some financing conditions, the Luxembourg Central Bank said in its latest Bulletin, released Tuesday. “The stance of monetary policy remains accommodative, even if some conditions of financing have become more restrictive,” the bank wrote. “After strong growth in the [...]

Italian auction results due up at 09:10 GMT. Event risk for single currency. Before that at 08:20 GMT we have dutch auction results. EUR/USD back below 1.3600 as European stocks crap out….. I would expect to see sovereign buying on any accelerated losses from present 1.3585. I think this given BIS already been buying under [...]

Thanks for that…….

EUR/USD at 1.3625 having briefly dipped below 1.3600.

FRANKFURT (MNI) – The German federal government is seeking bids for the E5 billion top-up of its 0.75%-coupon, two-year notes with a September 2013 maturity, the Bundesbank announced Tuesday. Bids are due by 900 GMT on Wednesday, with results of the allocation to be announced shortly thereafter. Including the E7 billion outstanding of this issue, [...]

PARIS (MNI) – France’s Societe Generale, like all French banks, is well fortified against any possible outcome in the Greek debt crisis and is not in danger, its chief executive officer Frederic Oudea said in a radio interview Tuesday morning. “It is not a worrying topic for any French bank, and particularly for Societe Generale,” [...]

Presently at 1.5828 from around 1.5855 when I sat down. Yesterday we had reports of Middle Eastern sovereign buying below 1.5800. Seems Giant Panda was also a buyer below 1.5800.  Something to bear (excuse the pun) in mind I guess. 08:30 GMT:  UK CPI for August expected +0.6% m/m, +4.5% y/y, up from previous flat, [...]

Big countries in Europe must make decisions on how to integrate monetary, fiscal policy

Repeats it hopes Europe can ensure China’s investments in the region MARKET SCUTTLEBUTT:  Story doing the rounds that Chinese have declined to buy Italian debt. Story is major reason for latest sell-off in EUR/USD.  Take it for what you will.  EUR/USD down at 1.3630.

Reports of real money buying the dollar against an assortment of currencies.

Pretty much in line with median forecasts of +0.1%, +2.9% respectively.