Forex news from the European morning session 4 Dec

News:

Data:

The markets have understandably traded in nervous mode as fall-out from the ECB continues and we wait on the US NFPs at 13.30 GMT

Theme of the morning has been euro weakness/correction after the huge post-ECB gains and from the off we've seen it slide

EURUSD was hovering around 1.0945 just off its Asian highs but it wasn't long before a general swathe of selling and USD demand had the pair below 1.0900 and posting lows of 1.0860. We saw some dip demand and a return to test 1.0900 but coulfn;t penetrate and down we came again.

The pattern has been similar in other euro pairs with EURGBP failing above 0.7230 and retreating to 0.7180 support lines so far which initially put a bid under cable at 1.5100 only for that pair to give way to 1.5078 before then rebounding back 1.5115

The USD demand had USDCHF up to 1.0012 from 0.9960 and USDJPY to 122.89 from 122.55 only for both pairs to run into some supply as I type.

USDDCAD has had one eye on the OPEC meeting and fallen from 1.3375 to 1.3331 on talk of output cuts which put a bid under oil prices while AUDUSD has been in retreat to test support around 0.7300 after holding above 0.7300 earlier. NZDUSD failed into 0.6700 and as USD demand kicked in has fallen back to 0.6670 support areas

So it's euro-dominated but focus now turns to those NFPs at 13.30 GMT