[B]Fundamental Headlines[/B]
[I]• Home Buyers Get a Reprieve – Wall Street Journal
• After Fed, Focus Shifts to G-20 – Wall Street Journal
• Merkel warns G20 against focus on imbalances – Financial Times
• Fed May Signal Economic Recovery Has Begun While Keeping Rate Near Zero – Bloomberg
• Fed Signals Return of U.S. Growth Insufficient to Withdraw Record Stimulus -Bloomberg[/I]
[B]
EURUSD[/B]– German business confidence rose to 91.3 from 90.5 in September, which was the highest level in a year. Despite the improvement in the IFO institute survey, it missed estimates of 92.0 which could be a sign that the pace of optimism is slowing as concerns over future growth emerge. Nevertheless, it remains significantly above the 26 year low of 82.2 in March and the expectations component continues to improve as it has become clear that the economic region is stabilizing. However, the breakdown of the survey revealed that the construction industry saw a decline in its outlook. The ECB has cautioned that although the economy is recovering, there remains enough risks for a second downturn for them to maintain their accommodative policy. To discuss this and other ideas visit the EUR/USD Forum.