EUR/usd
Passions around Syria have somewhat subsided. No, we don't say that intrusion is no longer planned, but Americans have slowed down a bit and the British parliament has voted against this intrusion. Americans will need time and sound arguments to justify their solitary intrusion into Syria. Stock exchanges returned to cautious buying, but it failed to support the single currency. Yesterday eurusd fell down to 1.3218. As expected, breaking through 1.33 intensified selling of the currency, throwing the pair back right to the two-week lows. However, now it is not absolutely certain that this downward move will continue. The pair has been consolidating above 1.3220 since the US session. It's quite possible that Friday's quiet session (the last one this month) will ensure a certain bounce in the pair. Besides, the dollar bulls will probably want to take profits in the currencies of the developing countries, which have declined significantly recently. The market attention today can be attracted only by the news on consumer and business confidence in the eurozone by EC. Later there will be a release of the US consumer spending statistics, but the latter usually don't have much influence on the markets, but for cases when there's a sharp deviation from the forecasted rates. And this may happen due to serious revision of the GDP rates for the previous quarters, which became clear from yesterday's publication. A bit later Revised UoM Consumer Sentiment will be released, but this indicator is not likely to arouse much agitation in the market.
GBP/USD
The British currency keeps attacking the euro, targeting 0.8500 in EURGBP, the level which didn't yield at the first try this month. In this connection the pound is performing well against the dollar, having almost recouped yesterday's drop. Now the pair is again above 1.55, which is quite a strong support level (200-day MA). Let's watch how trading will unfold here, while we are still on the bulls' side.
USD/JPY
Japan surprised by its inflation statistics. In July the consumer price index excluding fresh food grew by 0.7% annually, which is a bit more than expected (0.6% y/y) and better than in the previous month (0.4%). Employment stats also proved to be good. The unemployment rate slightly dropped (to 3.8%) and the job-to-applicant ratio grew to 0.94. However, such news didn't weaken the yen, but on the contrary contributed to its strengthening.
oil
Oil has returned to 106.70 today. As we expected, its flight above 109 was rather unsteady. Once again it all depends on geopolitics, which can't be predicted precisely, but judging by the technical analysis, 109 is a strong resistance, which won't yield that easily.
