Forex Trading : Oil inventory data bullish for oil. Crude above $110.00 per barrel

The higher oil prices makes it unlikely that Trichet will soften his rhetoric about inflation tomorrow.  The question is, does the higher oil inflation worry the Bank of England.  Their inflation is above the target rate of 2.0% and is most likely going to approach 3.0% in the near term.  Expectations are for a 25 basis point cut despite the increase.

The inventory data forced USDCHF through support at 1.0074 on the hourly chart. A close at 11:00 AM NYT below this level will be bearish for the USDCHF.