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Session Recap: USD gathers pace

FXStreet (Edinburgh) - The US dollar is bid across the board on Tuesday, backed by the solid performance from the US 10-y yields, now easing from previous highs around the 2.0% neighbourhood.

The demand for the single currency remains subdued, confining EUR/USD to trade in the area of 1.1280/70, or weekly lows. On the Greek front, the government remains firm in its initiative of a ‘bridge loan’ until September to face its financial needs in the near/medium term. Any answer to the Greek proposal could come from tomorrow’s emergency meeting of the Eurogroup and the EU Leaders’ Summit on Thursday, all against a backdrop of increasing market chatter regarding the possibility of Greece to leave the euro area.

Earlier on during the Asian trading hours, inflation figures in China showed consumer prices rising 0.8% on a year to January and 0.3% inter-month, down from estimates and December’s prints. The results could open the door for further easing by the PBoC via rate cuts.

Other headlines in Euroland

EUR/USD stabilizing around 1.1280

PBoC expected to ease further in H1 – DB

Does Greece have a plan ‘B’? – Trade TheNews

Grexit concerns building – BTMU

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