Rate falls back in sympathy with EURO; makes lows late in the day while other pairs hold firm suggesting cross-spreading and whipsaw. Rate is under pressure from stops under 1.9000 initially despite higher CPI. Volumes lighter into the lows. Technical buying seen from some desks, buying seen from semi-official names last week and likely more this week.

Rate has likely flushed out every long now and shorts will likely take gains soon leaving the rate vulnerable to a sharp rally. Possible buying from semi-official names so watch the news. Offers above the market mixed with stops from late shorts so be ready for whipsaw the next few days.

Traders expect GBP to track EURO through this week. Continue to expect a lot of cross-trading.

The USD ends today mixed after running stops in both directions today; whippy conditions and thinner volumes helped the Greenback to see some volatility today. Initially better on the day and into European closes the USD reversed today against Yen and EURO but held firm against GBP and Swissy.

Although the sentiment is for further USD gains most traders are reporting the recent rally may have run its course for now and with more potentially negative USD news due the next few days some traders are seeing profit taking on the sell side today. Rumors of Russian bids and Swiss bids in EURO helped to underpin that rate with the pair making highs in early New York after the release of better Balance of trade data today.