IFR Forex Watch. SQUAWK BOX. via Fxcm. "02:31 Greenspan Speech To IMF Left Impression Fed Might Tighten Soon. Sydney, April 26: A report from Market News International on the weekend stated that some participants who attended Greenspan"s presentation to the IMF following the G7 meeting came away with the impression that the Fed might pull the tightening trigger sooner rather than later. European officials felt that Greenspan"s upbeat assessment indicated that a Fed rate rise could come as early as June. The article states that EU officials are keen for the Fed to raise rates to cool U.S. domestic demand and curb EUR/USD strength. They feel this would help to reduce the massive U.S. current account over the medium-term. John.Noonan@thomson. 02:41 EUR/GBP: Falls Hard In Asia On Divergent Rate Expectations. Sydney, April 26: The EUR/GBP has fallen form an opening level of 0.6670 to 0.6645 on weekend reports indicating that UK rates might be heading more than 1% higher while the ECB remains under pressure to ease. There is good support for the EUR/GBP coming in around 0.6630 and 0.6615. The 0.6630 level is a double-bottom formed on the 20th and 21st of April and 0.6615 is the 61.8 fibo of the 0.6550/0.6725 move. The EUR/GBP trades 0.6644/49. John.Noonan@thomson. 00:49 GBP/USD: Weekend Press Suggesting UK Rates Could Rise To 5.5%. Sydney, April 26: MPC member Paul Tucker said in an interview with the UK Sunday Times that the cost of borrowing in the UK could peak at 5.5% from the current level of 4%. Tucker said that the neutral rate, which no longer stimulates the economy "might be in the range 5% to 5.5%, although it could be a bit lower." According to today"s UK Telegraph, the Ernst and Young Item Club will today publish a report predicting rates will have to rise "significantly above 5%" next year. The article states that the MPC and a number of economists have warned that if rates do rise as much as the markets expect it could set off a property crash. UK Chancellor Brown this weekend sought to reassure homeowners that the chances of a crash in house prices were slim. Recent surveys show that the vast majority of economists expect the MPC to decide a 25 bp hike to 4.25% when they meet next month.--John.Noonan@thomson. "