"Volatility remains high as gold is attracting more day and high-frequency traders. As a result, gold is losing safe-haven status and some investors are liquidating positions to increase cash and/or put funds into US Treasuries."
MS' analistes have revised their euro forecast significantly lower and now expect the euro to declined to $1.30 by year-end and $1.25 in Q1 2012 (versus prior forecast of $1.36 and $1.38 respectively, before stabilizing in the second half of next year.
Crude oil rose on speculation a report tomorrow will show stockpiles dropped in the U.S., the biggest oil consuming country.
Crude retreated from its session high after the International Energy Agency cut global oil demand forecasts for this year and next as the economic recovery falters.
Currently crude oil for october delivery is at $89.06 per barrel (+0.91%).
rising risk of sharp investment reversals out of emerging markets
shocks to emerging market growth prospects may spark major capital flight
EUR/USD $1.3800, $1.4000USD/JPY Y76.65, Y77.00, Y77.25, Y77.55, Y78.50
EUR/JPY Y108.30
AUD/USD $1.0375, $1.0550
Data:



Resistance 3: Y77.85/90 (Sep 9 high)

Resistance 3: Chf0.9000 (Apr 19-20 high)

Resistance 3: $ 1.5990 (Sep 9 high)

Resistance 3: $ 1.3840 (high of american session on Sep 9)

EUR/USD $1.3800, $1.4000USD/JPY Y76.65, Y77.00, Y77.25, Y77.55, Y78.50
EUR/JPY Y108.30
AUD/USD $1.0375, $1.0550
IEA cuts avg 2012 global demand fcst by 400 kbd to 90.7 mbd;
IEA trims 2011 avg non-OPEC supply fcst 200 kbd to 52.8 mbd;
IEA trims 2012 avg non-OPEC supply fcst 200 kbd to 53.8 mbd;
August global oil supply rose 1.0 mbd m/m to 89.1 mbd;
August OPEC crude output rose 165 kbd m/m to 30.26 mbd.
Data:






Japanese stocks fell for a second day, with the Nikkei 225 (NKY) Stock Average dropping to its lowest in almost two and a half years, as exporters and banks tumbled amid speculation Greece may be nearing default.
Sony Corp., which gets 21 percent of its sales in Europe, fell 3.4 percent as the yen’s advance to a 10-year high against the euro dimmed the earnings outlook.
Resistance 3: Y77.85/90 (Sep 9 high)

Resistance 3: Chf0.8925/30 (Sep 12 high)

Resistance 3: $ 1.5990 (Sep 9 high)

Resistance 3: $ 1.3840 (high of american session on Sep 9)

01:30 Australia National Australia Bank's Business Confidence (Aug) -8 2
08:30 UK HICP (August) 0.4% 0.0%
08:30 UK HICP (August) Y/Y 4.5% 4.4%
08:30 UK HICP ex EFAT (August) Y/Y 3.1% 3.1%
08:30 UK Retail prices (August) - -0.2%
08:30 UK Retail prices (August) Y/Y - 5.0%
08:30 UK RPI-X (August) Y/Y 5.1% 5.0%
08:30 UK Trade in goods (July), bln -8.6 -8.9
08:30 UK Non-EU trade (July), bln -5.5 -5.7
12:30 USA Import prices (August) -0.5% 0.3%
12:30 USA Export prices (August) - -0.4%
19:00 USA Federal budget (August), bln -131.8 -129.4
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