Euro Sees Strong Intraday Reversal

M3 which is an inflation measure came out slightly stronger than expected, Italian retailer confidence was also stronger and even though the German Gfk consumer confidence survey was softer, the revision to the prior month’s number puts it right in line with expectations.  Tomorrow we are expecting another laundry list of economic data from the Eurozone including German unemployment, retail PMI and producer prices.  Most of these reports should surprise to the upside as the strength of the Euro fails to put a meaningful dent on the Eurozone economy.  Meanwhile in Switzerland, the KoF leading indicator was also much stronger than expected, but that did not prevent the Swiss franc from falling against the Euro as renewed risk appetite sweeps the currency pair higher.