Investors quickly rushed off jumping on the EUR/USD on the speclation, driving the pair from an early low at 1.3980 to new 2011 highs at 1.4080. “Next reported orders are some sell orders at 1.4100/10” said Sean Lee at ForexLive. EUR/JPY also skyrocketed on the news, currently above 115.00 from a bottom at 106.55 yesterday, almost a 1,000 pips recovery.
Meanwhile, the Dollar/Yen has also begun to re-accelerate its travel north breaking 81.50 key resistance area to currently trade at 81.80. “The numbers being bandied about at the moment are about 2 trillion Yen already this morning in intervention; that’s about 25 billion USD/JPY bought by my reckoning” explained Mr. Lee.