EUR-USD experienced early downward pressure, with European traders playing the short side after digesting a WSJ article, which focused on German debt that could increase by more than EUR 100 bln next year due to the slow down. The story is a rehash of an article in the Der Spiegel last week and may only have temporary impact on the markt. Also adding weight are comments from ECB’s Nowotny, indicating that the ECB is likely to keep rates steady in 2010. EUR-USD fell quickly from 1.3900 and traded at a 1.3848 low, but has not progressed further on the downside amid reports of central bank bids out of Asia, which could be option related amid heavy strike congestion between 1.3750 and 1.3950. Today sees option strikes around the 1.3800, which will add to the support on the downside, while offers are expected to remain at 1.3900 and in to 1.3930.