Probably on the back of Gerry’s command to take out those 1.3150 EUR/USD stops!.

We hit lows of 1.0370, but appears well supported ahead of  the next batch of sell stops down through 1.0350 and 1.0320., and is back hovering around the 20 day MA again (1.0380)

EUR/AUD now taking the strain with a drift back to 1.2665 european session lows

Session low 1.3147!!, presently at 1.3151.

The feeling of absolute power is truly emboldening!!!

I swear I can feel a tingle in my fingertips

I don’t care where it goes now

Speaking in Madrid  he said that ECB liquidity was an opportunity for banks.

Spanish lenders ECB borrowing surged by almost 50% after the ECB increased support for the region’s lenders with more 3 yr loans

That’s what I like to see; cooperation, it’s a good thang…..

• Our time-frame for beating deflation is to do so “as soon as possible”
• Will take whatever steps needed to beat deflation

To see what influence ForexLive has on the global foreign exchange market.

I DEMAND YOU TRIGGER THE SELL STOPS BELOW 1.3150!!!!!

We’re presently at 1.3160.

Can ya tell I’m bored

–Corrects Month in First Paragraph, Updates
–Mar Producer Output Prices +0.6% m/m; +3.6% y/y
–Mar Core Producer Output Prices +0.1% m/m; +2.5% y/y
–Mar Input Prices +1.9% m/m; +5.8% y/y

LONDON (MNI) – Output price inflation fell to its lowest level for
more than two years in March, but a rise in oil prices caused a spike in
input costs, figures from National Statistics showed Friday.

The slowdown in inflation was mainly due to base effects from rises
in tobacco and alcohol prices, due to tax increases, and petrol prices,
in March last year which were not repeated this year

Output prices rose 0.6% on the month and were up 3.6% on the year,
a little higher than the median for a rise of 0.5% on the month and 3.5%
on the year. This was the lowest level of inflation since January 2010.

Core output prices rose 0.1% on the month and were up 2.5% on the
year, down from 2.5% in February. This was below the median for a rise
of 0.2% on the month and 2.7% on the year.

A possible pick-up in producer price inflation has been highlighted
by some Monetary Policy Committee members recently as a possible reason
why consumer price inflation could turn out higher than the Bank of
England’s latest forecast. These data show a mixed picture with input
prices rising sharply on the month.

Input prices rose 1.9% on the month, as the price of crude oil
increased 6.3% on the month. There was also upward pressure from other
imported material prices.

MPC member Martin Weale cautioned last month about rising prices.
“Import prices have been rising more than one might have expected and
…. if that sort of process goes on and no offsetting adjustment takes
place, then it could turn into one reason why inflation might be higher
than we think,” he said in a speech at CASS Business School.

–London bureau: 0044 20 7862 7491; email: puglow@marketnews.com

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

UK DATA: Non-seasonally adjusted construction output rose in
February but output seems likely to have fallen sharply on the quarter
which could hit Q1 GDP growth. Construction output volumes rose 6.1% on
the month in February, after a 12.9% monthly decline January, and were
down 4.6% on a year earlier. As the monthly data are non-seasonally
adjusted and there is only a short data series available for analysis it
makes interpreting the data difficult. A back of the envelope guess
suggests output on a seasonally adjusted basis could be down around 3-4%
in Q1 which would cut Q1 GDP growth by 0.2-0.3 percentage point.

LONDON (MNI) — Non-seasonally adjusted construction output rose in
February but output seems likely to have fallen sharply on the quarter
which could hit Q1 GDP growth.

Construction output volumes rose 6.1% on the month in February,
after a 12.9% monthly decline January, and were down 4.6% on a year
earlier.

As the monthly data are non-seasonally adjusted and there is only
a short data series available for analysis it makes interpreting the
data difficult.

January is usually a weak month for construction and output
usually bounces back in February and March strongly. Still even if March
output bounces back a hefty 20% in March non-seasonally adjusted output
would be down 9.5% on the quarter in Q1. Seasonal adjustment will likely
boost this but it is difficult to know to what extent.

A back of the envelope guess suggests output on a seasonally
adjusted basis could be down around 3-4% in Q1 which would cut Q1 GDP
growth by 0.2-0.3 percentage point.

–London bureau: 0044 20 7862 7491; email: puglow@marketnews.com

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

–Mar Producer Output Prices +0.6% m/m; +3.6% y/y
–Mar Core Producer Output Prices +0.1% m/m; +2.5% y/y
–Mar Input Prices +1.9% m/m; +5.8% y/y

LONDON (MNI) – Output price inflation fell to its lowest level for
more than two years in January, but a rise in oil prices caused
a spike in input costs, figures from National Statistics
showed Friday.

The slowdown in inflation was mainly due to base effects from rises
in tobacco and alcohol and petrol prices in March last year which were
not repeated this year.

Output prices rose 0.6% on the month and were up 3.6% on the year,
a little higher than the median for a rise of 0.5% on the month and 3.5%
on the year. This was the lowest level of inflation since January 2010.

Core output prices rose 0.1% on the month and were up 2.5% on the
year, down from 2.5% in February. This was below the median for a rise
of 0.2% on the month and 2.7% on the year.

A possible pick-up in producer price inflation has been highlighted
by some Monetary Policy Committee members recently as a possible reason
why consumer price inflation could turn out higher than the Bank of
England’s latest forecast. These data show a mixed picture with input
prices rising sharply on the month.

Input prices rose 1.9% on the month, as the price of crude oil
increased 6.3% on the month. There was also upward pressure from other
imported material prices.

MPC member Martin Weale cautioned last month about rising prices.
“Import prices have been rising more than one might have expected and
…. if that sort of process goes on and no offsetting adjustment takes
place, then it could turn into one reason why inflation might be higher
than we think,” he said in a speech at CASS Business School.

–London bureau: 0044 20 7862 7491; email: puglow@marketnews.com

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

UK DATA: Mar Producer Output Prices +0.6% m/m; +3.6% y/y
–Mar Core Producer Output Prices +0.1% m/m; +2.5% y/y
–Mar Input Prices +1.9% m/m; +5.8% y/y
————————————————————————
Output price inflation fell to its lowest level for more than two
years in January, but a rise in oil prices caused a spike in input
costs. Output prices rose 0.6% on the month and were up 3.6% on the
year, a little higher than the median for a rise of 0.5% on the month
and 3.5% on the year. This was the lowest level of inflation since
January 2010. Core output prices rose 0.1% on the month and were up 2.5%
on the year, down from 2.5% in February. This was below the median for a
rise of 0.2% on the month and 2.7% on the year. These data show a mixed
picture with input prices rising sharply on the month. Input prices rose
1.9% on the month, as the price of crude oil increased 6.3% on the
month. There was also upward pressure from imported material prices.

Fractionally firmer than median forecasts +0.5%, +3.5% respectively.

Does anyone care? Not really…….

PARIS (MNI) – Spanish banks borrowed a record E227.6 billion from
the European Central Bank in March, the Bank of Spain reported on
Friday.

The borrowing in March compared with an average net E152.4 billion
in February and E133.2 billion in January, data released by the central
bank showed.

Spanish banks were among the largest borrowers at the ECB’s two
long-term refinancing operations (LTROs), which have provided more than
E1 trillion in liquidity to the European banking system.

–Paris newsroom, +33142715540; jduffy@marketnews.com

[TOPICS: M$$CR$,M$S$$$,M$$EC$,MGX$$$,MFX$$$,M$X$$$]

Morning all, hope no one’s suffering from friggatriskaidekaphobia today………..

EUR/USD:  Sell stops down through 1.3150, bids below at 1.3130/35 (100 day MA at 1.3134). Offers 1.3200/10 (1.3206, 55 day MA), possible buy stops up through 1.3215

GBP/USD:  Offers 1.5965/70 and 1.5985/90. Bids at 1.5910/20 and 1.5895/05. Sell stops down through 1.5880. (watch for a possible close tonight above 200 wk MA of 1.5978)

EUR/GBP:  Bids 0.8240/45 and 0.8225/30, offers 0.8265/70 and 0.8275/80

USD/JPY:  Bids 80.75/80, (80.64 55day MA) larger from official/semi-officials 80.50/60, offers up at 81.15/20 larger at 81.25/40. Large option expiry today at 80.15

EUR/JPY:  Sell stops down through 106.00 and 105.50, buy stops up through 107.50

AUD/USD: Bids 1.0380/85, sell stops just below (1.0380 200 day MA) and through 1.0350. Buy stops up through 1.0420 (1.0422 100 day MA) and offers behind at 1.0460/65

AUD/JPY: Sell stops through 84.00. Offers 84.75/80

USD/CHF: Bids 0.9100/10, probable sell stops down through 0.9090. Offers 0.9125/30

EUR/CHF: Bids 1.2000/05 (peg and 200day MA at 1.2000), Offers 1.2020/25 and 1.2030/35

USD/CAD: Bids 0.9940/45 and 0.9920/25, Offers 1.0015/20 larger up at 1.0045/50

NZD/USD: Bids 0.8265/70, tech support 0.8256 (55day MA).Offers 0.8315/20 and tech res 0.8390/00

EUR/JPY tripped on the break of 106.50 and AUD/JPY through 84.00.

More EUR/JPY stops lie on a break down of 106.00 and 105.50

BERLIN (MNI) – The ECB’s recent two long-term refinancing
operations (LTROs) cannot on their own solve the Eurozone’s sovereign
debt crisis but can buy time for governments to undertake the necessary
steps, ECB Executive Board member Joerg Asmussen said Friday.

“Did the LTROs solve the current problems?” Asmussen asked in a
speech at a conference of the Institute for New Economic Thinking here.
“No, and this wasn’t intended; it bought time for governments to act.”

“We have done our part, providing an environment of ample liquidity
and low interest rates, and now it is time for governments to do their
part,” the central banker stressed.

European governments have now a “clear, comprehensive strategy to
deal with the situation,” Asmussen reckoned. “Europe is a safe place to
invest.”

“The best contribution a central bank can make is to provide price
stability and to contribute to financial market stability,” he
reaffirmed. “We remain fully faithful to our mandate.”

Asmussen repeated the ECB’s current scenario of Eurozone growth
stabilizing at low levels and inflation remaining in check. “In the
environment of modest growth, price pressures should remain limited,” he
said.

“Inflation expectations are well anchored,” the board member
observed. The ECB will continue to deliver price stability and “will act
when needed.”

Downside risks for growth stem from the possibility that tensions
in Eurozone sovereign debt markets may reappear and spill over to the
real economy, Asmussen said.

–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com

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

ITALY DATA: February SA industrial output -0.7% m/m, WDA -6.8% y/y,
on a contraction in consumer and intermediate goods output, posting
the worst fall in the y/y index since Nov 2009 (-9.3% y/y). The m/m decline
follows a m/m fall 2.6% in January.
–February unadjusted y/y output fell -3.5%, down from -1.7% y/y in
Jan (there were 21 working days in Feb 2012 Vs 20 working days in Feb
2011).
–See details MNI main wire for more details.

Weaker than Reuter’s median forecasts -0.2%, -5.0% respectively

Crappy Italian data and EUR/USD slumps 7 pips to 1.3163.

UPDATE:  Wait a mniute, make that 10 pips, we’re at 1.3160 Yipeeeeeeeeeeeeeeeeee

Joe’s here. I’m going for a nice lie down in a darkened room……

Big jump from 169.8 bln in February

And EUR/USD is at…………………………1.3170!!!

The end of the World is coming next Tuesday!!!

And EUR/USD is still at 1.3170!!!

Bugger this for a game of soldiers……

• Further steps will need to follow
• Non-Europeans should now contribute to IMF
• Europeans ‘have done their part’

Those comments will have the likes of the Chinese, Japanese, Americans charging forward with open chequebooks at the ready…….

And EUR/USD is at………..wait for it………..1.3170!!! (I’m lying, it’s at 1.3168 really)

Circa 1.3180.

We’re at 1.3170 presently.

Reports yesterday had them selling circa 1.3150, but didn’t stop us eventually moving above 1.3200.

But at least helps explain why most recent rallyette stalled rather quickly. Some of Asmussen’s comments weren’t exactly helpful either.

I’m starting to get a headache

While BIS has been notable seller, Middle Eastern sovereigns been notable buyers.

I wonder if the BIS knows Joe has called for 1.3250