ForexLive European Wrap; USD claws back a little ground

China says its internet is open and encourages development of internet. Opposes cyber hacking. Welcomes foreign firms participating in internet development "according to law" Obama bank fee to hit 50 of biggest U.S. financial firms Merkel says Greece means euro faces "difficult" time French PM Fillon: France will almost double its 2010 growth forecast German final December CPI revised to +0.8% m/m, +0.9% y/y, firmer than previous +0.7%, +0.8% respectively German BDI industry association expects 2010 GDP of 1.5-2.0%, but still sees risk of credit crunch in Germany Greek 3 year stability plan will be sent to EU commission on Friday. Sees 2010 deficit cut by 4% points; 2011 deficit cut to 5.6% of GDP; 2012 deficit cut to 2.8% of GDP - FinMin Greek October unemployment 9.8%, up from 9.1% in September Euro zone November industrial output +1.0% m/m, -7.1% y/y, better than median forecasts +0.5%, -8.5% respectively The USD is generally a little firmer this morning. EUR/USD having started around 1.4535 ran into BIS selling right from the get go. Talk of sell orders lined up at 1.4550 through 1.4580 didn't help matters. We slipped very slowly lower in subdued trading before strong selling from a US custodial helped accelerate the process. We've been as low as 1.4482 so far, presently at 1.4487. Talk of buy orders layered at 1.4480 down to 1.4450 will be lending some tenuous support. ECB rate decision now awaited, nothing really expected. Cable started around 1.6290 and advanced to a session high 1.6312 where it duly ran into well-touted robust ACB selling interest. It's been all downhill from there. We're presently at 1.6260, next support at 1.6250. USD/CHF is up at 1.0210 from an early 1.0170, with decent Swiss corporate buy interest noted throughout the morning. USD/JPY fractionally firmer at 91.85. Been up to 92.00/05 area where it duly ran into Japanese exporter sell interest