FX Commentary: Rollercoaster for Dollar In Europe Trading:
The dollar experienced volatile trade. Early European interest saw heavy demand from hedge funds, which forced EUR-USD down to 1.4814 lows. But downside movement was short lived amid good demand from European accounts after sovereign accounts put a floor in place ahead of 1.4800. Strong demand lifted the pair above 1.4900. Price swings were noted between 1.4860 and 1.4920 for the remainder of the morning.
The end of the Russia-Georgia conflict initially added weight on the Euro in line with the Swissy, before Russian names were heavy euro buyers on dips.
Cable found support ahead of 1.9200 after trading in sympathy with EUR-USD. Meanwhile, CHF remained soft after losing its safe haven status, while commodity bloc currencies remained under pressure, with AUD, NZD and CAD experiencing selling pressure.