EUR/USD Holds Ground Despite Negatives

EUR/USD continues to suffer from ECB president Trichet's neutral bias expressed last Thursday, however even lower oil prices overnight and weak German production data earlier Tuesday fail to push EUR/USD below 1.56, notes Commerzbank. This may be because upcoming US data are expected to be on the weak side, with Tuesday's pending home sales likely to dash any hopes that the housing market has seen a trough. However Commerzbank says whilst EUR/USD stays below 1.5750-70 resistance, the rate's outlook remains neutral-to-negative. EUR/USD now at 1.5682