The USD opens New York mixed after a quiet two-way overnight session aided by non-USD cross spreading; minor economic news helped to underpin the majors as the week gets underway. Overnight China announced a large economic stimulus plan and "appropriate measures" to be taken in order to continue China's record expansion; traders note that most of the Asian currencies were slightly weaker against the Yen and USD on the news. Equities rallied in Asia as well taking their cue from the news despite ongoing concerns of global recession; Wall Street is expected to open firmer today as well likely due to spillover effects from European bourses which are mostly higher as well.

USD/JPY is the only pair holding gains this morning as demand for Yen continues; high prints at 99.49 are still below major topside pressure around the 100.00 area but traders note solid offers are likely waiting. Low prints in the rate at 98.65 so far unchallenged in early New York leaving a narrow range to start the week. Traders note reserve-manager buying of EURO/GBP today helping to lift the EURO today; higher oil and gold pricing also underpinning the rate today; high prints so far at
1.2928 with the rate firm at 1.2900 area to start New York. Traders note that EURO has stops likely building above the 1.2950 area with resistance around 1.3000 making for a potential top to start the week. GBP is solidly two-way but holding some lift from spillover in EURO; high prints at 1.5886 before sellers emerged putting the pair into the
1.5780 area in early New York.

Traders note solid sales by Russians at the highs helping to cap the rate on the rally. In my view, the majors are continuing to consolidate their recent dip lower as the flight to quality USD buying appears to be mitigating. Although world credit conditions are still very tight it is beginning to show signs of loosening enough for traders to begin seeing reasons to let loose of extra USD perhaps. The majors are likely to remain in two-way trade until the end of the year as traders digest both the economic conditions as they are as well as what the new US President will bring to the table initially. In my view, the USD is setting up to decline as the US economy is likely in recession with little to do to help without a significant new stimulus. What has been done will take time to filter into the system and new plans will take time as well. Until then, the Greenback is likely to remain range bound to lower as traders attempt to make sense of the potential speed of the recovery.

 Overnight Asia/Europe

• Equities firmer overnight; underpin EURO
• China announces stimulus plan, USD falls
• Commodities higher also helping the Majors

Today's Economic Reports
All times EASTERN (-5 GMT)

• Tentative USD Assist Treasury Sec Kashkari Speaks
Light day for US news—expect two-way action.
Looking Ahead to Tuesday

All times EASTERN (-5 GMT)

• 10:00am USD IBD/TIPP Economic Optimism
• All Day USD Bank Holiday—Veterans Day

Forex Analysis by Jason Alan Jankovsky at ForexPros.com. For more details about Forex Trading and Tips for decent earnings through Forex Trading, Please check http://www.forexpros.com