The focus this morning will be on the Bank of England policy decision. Expectations are for the BoE to leave its benchmark interest rate unchanged at 0.50%.

The Euro rebounded against the Dollar after early session weakness as Asian traders saw value and bought on the dips. The rally may be short-lived however as selling pressure may return amid concerns about peripheral Euro Zone debt.

The firm Dollar is helping to keep downside pressure on December Silver. This week the Greenback has shown signs of bottoming which is encouraging investors to pare positions.

Volatility is also a little higher as risk sentiment appears to be shifting. Uncertainties over the size and shape of the Fed’s expected quantitative easing package continue to be the force pressuring this metal.

Overnight the U.S. Dollar reached a new 15-year low versus the Japanese Yen on uncertainty regarding a leadership election in Japan. At issue was whether the current Prime Minister Kan would keep his job or not. Kan has been a staunch supporter of intervention.