Sunday night saw the USD break into the DXY 96s, but with widely acknowledged intervention from a number of central banks, the Euro was bought... cooling the USD (intra high 96.69), settling -0.6% @ DXY 95.04. The secondary bearish target zone of 92/90 remains on track.
Suffice to say... even the cheerleaders on clown finance TV were able to acknowledge the overt intervention by various central banks across Sunday night and throughout Monday, in an attempt to stabilise currency markets.. and indirectly negate some of the equity weakness.
Clearly, the intervention worked to some extent.. but its not the sort of thing that can be done every day, right? Well, regardless... the fact the USD actually closed net lower will have surprised many.
It is taking long than I had expected, but the 92/90 zone is still viable.. before the hyper-ramp into the DXY 120s.
A net Monday decline of -3.3% @ 4053... with an intra low of 3875. The 3400s are well within range in the near term.
Tuesday will see Case-Shiller HPI, Chicago PMI, and consumer conf;'.
*Fed official Bullard will be speaking.. and Mr Market will no doubt be listening.
Goodnight from London