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FOREX News & Overnight Technical Levels - October 12th

Friday, 12 October 2007 11:22:45 GMT

Written by John Kicklighter, Currency Analyst

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Fundamental Headlines

• NZDUSD - Retail sales rise 0.2 percent, half the increase expected, as record high lending rates begin to cool spending habits.
• USDJPY - According to the Domestic CGPI numbers for September, wholesale inflation cooled for a third month to a 1.7 percent year-over-year pace.
• USDJPY - Japanese consumer confidence survey fails to improve as economists forecasted. A 44.1 reading matches August’s three year low, keeping spending forecasts and expectations for another BoJ rate hike muted.
• EURUSD - Front line, consumer level inflation cooled accelerated from a 1.2 annual percent to 1.5 percent in September, though its contributions to the ECB rate forecast will likely be limited.
• EURUSD - Industrial production in the Euro Zone jumped 1.2 percent in August, both well above expectations and the biggest monthly increase this year, led by a 3.8 percent rise in durable consumer goods.

• China Banking Chief Seen Moving On...and Up? - Wall Street Journal
• China's trade surplus surges 65% through Sep. - Shaghai Daily
• Government Monitoring Effect of Higher Food Prices on Consumers, Ota Says - Bloomberg
• Bush reiterates belief in "strong dollar policy" - Reuters.uk
• Weber Says ECB May Need to Raise Rates to `Restrictive' Level - Bloomberg
• GE's Profit Increases 7.1% on Higher Overseas Sales - Bloomberg

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