The EUR continues to range trade as of this morning in a tight fix. German inflation data came in below expectations per the Wholesale Price Index yesterday. The broad European Industrial Production statistics will be released today.

The GBP continues to bounce along near lows and yesterday’s poor Manufacturing and Industrial Production outcomes will not spur on much optimism for Sterling demand. The BoE appears caught between a rook and a hard place while the British government tries to fix the U.K. economy.

The USD has also produced cautious trading the past two days and this comes as investors watch the shenanigans from Washington centered on the budget debate. The words ‘charm offensive’ have been seen in the media recently regarding the attempts of the White House to convince Republicans to bend. But considering that the past few years have produced nothing in the way of budget compromise from D.C., and only mandates which allow spending to continue in the wake of no agreements have been approved , look for history to repeat this week – meaning that no compromise will be found except to say somehow politicians will not allow the government to be shut down completely. Retail Sales figures will come from the States today and will be looked at with interest.

Gold flirted with higher values yesterday and as of this morning is around 1592.00 USD. The precious metal has been getting a lot of attention because of its relative decline thus far in 2013. There have been reports that some governments and large privately held funds have been sellers, but contrarian traders would likely point out that Gold is near the lower end of its range. While short-term inflation is certainly not part of the equation for the metal at this juncture, fears about the long-term health of certain fiat currencies exist and because of this speculation continues with an array of philosophical and conspiratorial thinking.

Wall Street produced mixed returns yesterday. With the major indexes flirting near highs investors have a lot to consider. The U.S. continues to turn out muddled economic data and skeptics still abound, but for the time being short-term endeavors have profited in many equities while other assets languish.