Rumour quoshed.

• Risk of credit crunch in European economy has been prevented largely due to long-term liquidity offer of ECB
• Commission supports combining remaining resources of EFSF with ESM to make sturdier European firewall

From this Thursday.

Explains latest dip in EUR/USD. 

AUD/USD down at 1.0595 at writing from 1.0620 when I parked my bum.

Earlier I was getting reports of buy orders, including ACB interest, clustered down at 1.0590/00.  We’re about to see how hefty this interest is.

FRANKFURT (MNI) – The profit of the German Bundesbank last year
fell to less than E1 billion, German daily Bild reported on Tuesday,
without naming sources.

Bundesbank President Jens Weidmann already implied last month that
the central bank’s need to increase reserves during the crisis would
lead to reduced profits.

The Bundesbank, which transfers its profits to the German federal
government, reported E2.2 billion profit in 2010 and almost twice that
the previous year.

–Frankfurt bureau tel.: +49-69-720142. Email: dbarwick@marketnews.com

[TOPICS: MT$$$$,M$$CR$,MGX$$$,M$$EC$,M$X$$$,M$G$$$]

European stocks seeing accelerated losses, DAX down hefty 1.5%.

EUR/USD has given ground, presently testing trendline support at 1.3170.

–SMMT: March Data Will Be Much Better Barometer of Sector’s Health

LONDON (MNI) – UK car registrations fell by 2.5% in February from
the same month a year ago and were broadly flat over the first 2 months
of the year (-0.8%), the Society of Motor Manufacturers and Traders
reported today.

The SMMT pointed out that February accounts for just 3.3% of the
annual registrations market, coming as it does ahead of the March
registration plate change.

“The February new car market was broadly in line with industry
expectations with a welcome increase in private retail activity,” said
Paul Everitt, SMMT Chief Executive.

“The March market will provide a much better indicator of industry
health than the relatively low volumes traditionally seen in February”.

–London newsroom: 4417 862 7491 e-mail: dthomas@marketnews.com.

[TOPICS: MABDS$,M$B$$$]

I’m not bloody surprised.

Who can afford a new car in this country?

I can hardly afford to fill my tank up.

And don’t talk to me about bloody car tax!!!

I just paid £190!!! What’s that all about????  Daylight bloody robbery is what it is…

Greece’s international creditors considering whether to grant small tranche in the weeks ahead.

Dep FinMin Sachinidis speaking on Mega TV said the funds would go to paying off part of the 6 bln accumulated arrears the government owes private contractors.

The official opined that the disbursement could come before the Greek elections saying “There is a discussion that, likely before the elections, we will get a tranche that will allow us to pay some of, not the total of, the arrears.”

Down at 1.5825 from early 1.5850.

I have to say I’m totally flummoxed by UK housing data at the moment. Seems such a mixed bag.  Today’s Halifax data bit of a nasty shock.

Talk of buy orders clustered down at 1.5790/05, sell stops below 1.5790.

On topside,  tech resistance of note lies at 1.5893 (200 dma) Would expect decent-sized orders either side of said level (sell orders just infront/buy stops close above) I don’t at the moment have any confirmation of this though.

–Prices Down 1.1% In 3 Months To Feb Vs Previous 3-Month Period

LONDON (MNI) – UK house prices fell by 0.5% in February from
January and were down 1.9% in the three months to February from the
same period a year ago, according to the Halifax House Price Index.

Prices were down 1.1% in the latest three months to February from
the previous 3-month period, Halifax said.

Commenting, Martin Ellis, housing economist, noted

“Overall, prices nationally are at broadly the same level as last
spring. This stability in prices is explained by the fact that market
conditions have changed very little over this period with demand
supported by low interest rates and supply remaining tight.

“Falling inflation should relieve some of the pressure on household
finances over the coming months. Many of the economic statistics
released in recent weeks have also been encouraging, suggesting that the
UK may avoid slipping back into recession. These developments are
positive for the housing market outlook. Significant uncertainties,
however, persist and the prospects for house prices during 2012 will, to
a large extent, depend on events in the Eurozone and the potential
knock-on effects on the UK.”

–London newsroom: 44207862 7492; email: ukeditorial@marketnews.com

[TOPICS: M$B$$$,MABDA$,MABDS$,MT$$$$]

Weaker than Reuters median forecasts +0.3%, -1.6% respectively.

• IIF document says hard default in Greece would lead to sizeable bank recapitalization costs, could easily be 160 bln euros
• Default would hit ECB, Portugal, Ireland, Spain and Italy would also likely need support
• “Hard to see” how contingent liabilities would not exceed 1 trillion euros

Reuters reporting.

Well there’s our first tape bomb.  EUR/USD down through 1.3200, presently at 1.3188.

Guess the IIF trying to concentrate a few minds as to what lies in store if/when Greece defaults.

EUR/USD sits at 1.3205,  pretty much where North America left it Monday.

Not much on the docket to whet the appetite when all said and done.  We’re in much need of a jolly good tape bomb, or possibly a cluster of tape bombs.

EUR/USD trendline support comes in at 1.3170 today.

Buy orders seen clustered down at 1.3150/75.  Sell stops seen through 1.3150.  Sell orders seen clustered up at 1.3230/50, buy stops above.

Love him or loathe him, latest from AEP at The Telegraph.  Double dose this morning, how lucky we are

Love him or loathe him, latest from AEP at The Telegraph.

Picking up on a story Jamie aired yesterday.

• China economy likely to grow ‘slightly more than 8%’ this year

Dow Jones reporting.

Financial bookies see FTSE, DAX and CAC 40 opening up around -0.1% lower.

Let’s call it flat.

Got any ideas you’d like to share with your fellow readers, then here’s where to stick ‘em.