Forex trading: Euro lifts, Italian bond yields ease

Euro leader talks lift the single currency and the British pound is rising, but the OECD is downbeat - it's time for your Forex trading fix.

Euro zone leaders are discussing a potentially groundbreaking new pact, and the euro is higher. [WSJ]

The euro was also lifted by a successful Belgian bond auction. [WSJ]

After an Italian newspaper said the IMF is in talks about an Italy aid package, the IMF denied it - but Italian bond yields eased anyway. [CNBC]

Moody's says the European crisis is threatening all sovereign debt ratings there, and several shocks may be needed to force a rescue plan. [CNBC]

Icap, the world's largest electronic forex trading platform, has been preparing for a possible breakup of the euro and testing its platform to trade the Greek drachma. [FT] 

The British pound rose against the dollar, but remains vulnerable to expectations that the government will lower its growth forecast. [Reuters]

The Organization for Economic Cooperation and Development slashed its growth forecast, especially for the euro zone. [FT]