Some profit taking has hit the markets, following yesterday’s soaring gains on an announcement of a European Union agreement.  The sentiment has taken the EURUSD a notch back along with most other majors trading against the US dollar.  Not surprisingly, the Japanese yen has gained against the greenback – advancing by 0.3% to trade at 75.75.  Nonetheless, the US dollar index has risen to trade above 75 at 75.13 in New York.  Economic data is thin on the day with nothing but a handful of releases for the global economies – a relatively anticlimactic day in FX.

1.  US spending figures ticked higher in the month of September, making it back to back gains for the Commerce Department report.  For the month, consumer spending rose by 0.6%, following up on August’s 0.2% uptick.

2.  On the other hand, personal income figures were less than encouraging as September gains weren’t as high as expectations.  Monthly gains were held to 0.1% in the month, compared to more optimistic estimates of a 0.3% gain.  The recent figure rises above August’s 0.1% slide.

3.  The Swiss KOF leading indicators survey plummeted to a reading of 0.80 in October, falling below September’s reading of 1.21, according to the KOF Economic Research Agency.  The lower reading indicates a further slowdown in the Swiss economy in the upcoming months.

4.  Speculation continues to swirl of a coordinated cash injection from both the International Monetary Fund and the Chinese government when it comes to Europe’s woes.  Although plans haven’t been finalized, there is talk of allowing both institutions to contribute guarantees that would help to backstop any further losses in Europe’s banking system.

5.  Not surprising, the Bank of Thailand cut growth forecasts for this year to 2.6%, falling from an earlier 4.1% prediction.  The cut was predicated on slower than expected spending following the massive floods that have taken over the country since the end of July.  Traders are now siding with a near term cut in interest rates by the country’s central bank.

6.  Current account surplus readings in South Korea have widened to $3.1 billion, rising from a revised $292.6 million in August – helping the USDKRW to dip below 1,125 in overnight trading.  The report, released by the Bank of Korea is yet another positive economic sign that may convince central bankers to raise interest rates in the near term.

7.  Joblessness in the Spanish economy rose to the highest level in almost 15 years.  According to a report by National Statistics Institute, the country’s unemployment rate gained to 21.5% in the third quarter.  This is compared to a 20.90% rate back in the second quarter of the year.