FX News & Overnight Technical Levels

· Reserve Bank of Australia lowers 2007 inflationary forecasts despite robust growth in economy. Notes that “the decline (in inflation) appears to have been a little faster than originally expected.” Australian dollar falls through 0.8200 figure.

· Australian March trade deficit widens to A$1.622 billion. February deficit revised to A$728 million shortfall.

· Eurozone PMI services survey for the month of April prints lower than expected figure at 57, below consensus estimates of 57.6.

· Eurozone retail sales rises 0.5 percent on the month, as expected. Subsequent yearly figure rises above the 2.3 percent consensus at 2.6 percent.

· German PMI Services survey released at 57.8, relatively in line with 57.9 consensus estimate.

· US Non Farm Payrolls report prints less than expected. Payrolls increase 88,000 for the month of April as the unemployment rate rises to 4.5 percent.

Watch Out For…

Euro buyers attempt to test 1.3600 in the New York morning.

Japanese Yen holding onto 120.00 figure after US non farm payrolls release.

British Pound notably finds support at the 1.9850 figure, likely to head north to 1.9900 in the near term on bidding sights.