[ForexNews]

Just to recognize that the growth in Chinese foreign exchange reserves in the month of September at $ 61 bln was bigger than the entire debt of the Dubai deadbeats. Pressure is building between the US and China as Chinese officials call the US attempts to allow the Dollar to weaken "unfair." One keen observer of US-China trade commented on the weekend that China must stop pretending it is "poor" or alternatively that it is a "small, open economy." It is neither, and bears some responsibility for making the global system work.

$/Yen and Yen crosses in general are finding support on the back of rhetoric from Japanese officials considering intervention to stem further Yen strength. $/Yen O/book supp 85.90. Data: IP +0.5% vs exp 2.5% AUD is also being driven higher on fears on Japan intervention.

Purchasing manager reports from both Chicago and Milwaukee are showing strength this morning. Chicago 56.1 vs 54.2 and Milwaukee at 57. vs 50. Nothing like a soft Dollar for export sales of soybeans, corn and heavy equipment.

Canada's GDP 2009/Q3 at +0.4% pa rate from -3.4% in Q2 also points to the turn.

Norway retail sales +2.1% M/M vs exp 0.7%