Analytics, News, and Forecasts for CFD Markets: currency news — 06-02-2012.

The euro rose, offsetting previously incurred losses against the background of EU President Van Rompuy and EU Commissioner for Greece of possible progress in talks on Greek debt. EU President said that "the crisis is not yet complete, but the worst part is over," adding that "the problem of U.S. debt on average more serious than in the euro area and euro area deficit is not dramatic".

Previously, the single currency fell against major currencies of the partner, after it became known that the Prime Minister of Greece Lucas Papademos appealed to the Ministry of Finance to prepare a report on options for action in case of default in the country. On Tuesday, leaders of political parties would meet again in an attempt to find a solution that will convince triple transfer the second tranche of aid for the troubled country. Earlier, Greece has the requirement to cut 15 thousand jobs in the public sector, it is necessary to improve performance.

The yen rose against most of its major peers even after Bank of Japan Governor Masaaki Shirakawa said the nation’s economic condition is “severe” because of deflation and the strong currency. The central bank is implementing monetary easing measures and will take appropriate steps as needed, he said in parliament in Tokyo today.

• The idea of ​​appointment of Commissioner's budget for Greece is absurd

• Out of Greece from the eurozone will only exacerbate the crisis

• Companies, banks, law firms are studying the output of the euro in Greece

• Internal devaluation is preferable to exit from the eurozone Greece

• The ECB should play the role of lender of last chance

• The second package of aid to Greece will be issued only if we prove the stability of finance

Gold becomes cheaper as the depreciation of the euro, pending approval of austerity measures in Greece, which had hoped for a second tranche of financial assistance.

Politicians in Greece agree on cost-saving measures necessary to obtain the second tranche of financial assistance, without which the country is threatened by default. Terms of credit must be agreed with the IMF and EU inspectors until the next meeting of eurozone finance ministers, said on Monday a representative of the Greek government.

From the beginning, gold has risen in price by nearly 10 percent, but Friday was the worst day for the market since the beginning of the year, as the hope for another round of easing monetary policy in the U.S. subsided after the publication of better-than-expected employment data.

Due to lower prices on Friday, the demand for physical markets in Asia. From the beginning, growing demand for gold coins and gold ETF-backed funds.

"The reserves of gold in the ETF funds rose last week to 20 tons, and in January, according to preliminary data, the net increase was 24.5 tonnes, after declining stocks in December. General fund reserves reached 2.404,6 tons and tons of only 1.3 below the peak reached in early December "- the report says Barclays Capital.

The cost of the February gold futures on the COMEX today fell to 1713.3 dollars per ounce.

Sees unempl rate below 8% by end of the yr.

Sees unempl rate below 8% by end of the yr.

Data:

08:00 United Kingdom Halifax house price index January -0.9% +0.1% +0.6%

08:00 United Kingdom Halifax house price index 3m Y/Y January -1.3% -1.8%

09:30 Eurozone Sentix Investor Confidence February -21.1 -11.1

11:00 Germany Factory Orders s.a. (MoM) December -4.9% +0.5% +1.7%

11:00 Germany Factory Orders n.s.a. (YoY) December -4.3% 0.0%

The euro slid the most in a week against the dollar and yen on concern Greece’s political leaders will fail to reach an agreement allowing the nation to receive a second bailout from international creditors.

The common currency slid  as Fitch Ratings said a Greek disorderly default “cannot be wholly discounted.”

The Dollar Index jumped before St. Louis Federal Reserve President James Bullard speaks amid speculation the U.S. central bank will avoid easing monetary policy further.

U.S. government data showed on Feb. 3 that nonfarm payrolls rose by 243,000 in January, surpassing the 140,000 increase estimated by economists. The benchmark yield on 10-year Treasuries jumped 10 basis points to 1.92 percent that day, the biggest gain since Dec. 20.

EUR/USD: during european session the pair decreased in $1,3040 area.

GBP/USD: the pair showed low in $1,5730 area. Later the rate restored

USD/JPY: the pair was limited Y76,55-Y76,80.

On Monday the yen strengthened against all of its major counterparts as concern increased that Greek bailout negotiations will hinder efforts to resolve the financial crisis, boosting demand for haven assets. The euro fell below 100 yen for the first time in a week as European Union leaders met in Brussels, and Italy raised less than its maximum target at a bond sale after Fitch Ratings downgraded the nation last week. The dollar touched the weakest against the yen since Oct. 31, when it reached a record low. The Swiss franc strengthened to the highest level against the euro since September.

On Tuesday the euro fell to its weakest level in almost a week versus the dollar as investors speculated European policy makers won’t be able to reach an agreement regarding Greece’s debt obligations. The euro weakened against the majority of its most- traded peers as Standard & Poor’s increased the number of Portuguese banks on “creditwatch negative.” Greece pledged a last-ditch effort to prevent the collapse of a second rescue package from creditors, aiming to complete talks this week on a financial lifeline that’s been in the works for six months.

On Wednesday the euro rose against the dollar for the first time in three days as a purchasing managers’ index of manufacturing output in the region beat analysts’ estimates, adding to signs Europe’s economy is stabilizing. The euro reversed an earlier decline after Markit Economics said its manufacturing gauge based on a survey of purchasing managers in the euro region rose to 48.8 in January from 46.9 in December. In Germany, the output gauge reached the highest in six months. The greenback fell versus 14 of its 16 most-traded peers after manufacturing in China and the U.S. also rose, damping demand for safer assets. The official Chinese purchasing managers’ index increased to 50.5 from 50.3 in December, though the data may have been distorted by a week long holiday. U.S. manufacturing expanded at the fastest pace since June. The Institute for Supply Management’s manufacturing index rose to 54.1 in January from 53.1 in December, the group said today. Companies in the U.S. added 170,000 workers in January, reflecting job gains in services and at small businesses, according to a private report based on payrolls.

On Thursday the euro fell against the majority of its most-traded counterparts as Greece struggles to reach an agreement with its bondholders on cutting the nation’s debt burden. Luxembourg Prime Minister Jean-Claude Juncker said steps to tackle the debt crisis adopted at a summit on Jan. 30 were “largely insufficient.” China’s Premier Wen Jiabao said his nation supports European efforts to stabilize the 17-nation currency. China is still researching the best way to participate in the European Financial Stability Facility, Wen said at a briefing with German Chancellor Angela Merkel in Beijing. The dollar rose before a report that may show employers boosted payrolls in January and the jobless rate held at an almost three-year low. Applications for unemployment insurance payments in the U.S. dropped by 12,000 to 367,000 in the week ended Jan. 28, Labor Department figures showed today in Washington. Fed Chairman Ben S. Bernanke said the economy has shown signs of improvement while remaining vulnerable to shocks, and he called on lawmakers to reduce the long-term U.S. budget deficit.

On Friday the dollar gained, recovering from an almost postwar low against the yen, after U.S. employers added more jobs than forecast, damping speculation the Federal Reserve will add another round of asset purchases to spur growth. Nonfarm payrolls rose by 243,000, after a revised 203,000 gain in December, the Labor Department reported today in Washington. The unemployment rate fell to 8.3 percent. Data this year have signaled the U.S. economy is recovering at a quickening pace. Manufacturing grew in January at the fastest pace in seven months, the Institute for Supply Management reported Feb. 1. Consumer confidence rose last month to the highest level in almost a year, according to a Thomson Reuters/University of Michigan index published Jan. 27. The Japanese currency dropped, after trading within one yen of its post-World War II high versus the dollar, reducing speculation the nation will intervene in the currency market to stem its appreciation. Japan’s Finance Minister Jun Azumi has said he will take decisive steps against one-sided moves in the yen if needed. The currency’s level doesn’t reflect economic fundamentals, and falling U.S. interest rates are increasing speculative yen buying, he told reporters in Tokyo.

Resistance 3: Y78.30 (Jan 25 high)

Resistance 2: Y77.45 (61.8% FIBO Y76.00-Y78.30)

Resistance 1: Y77.15 (50.0% FIBO Y76.00-Y78.30)

The current price: Y76.74

Support 1: Y76.45 (session low)

Support 2: Y76.00 (Feb 1 low)

Support 3: Y75.60 (Oct 31 low)

Resistance 3 : $1.5880 (Feb 1 high)

Resistance 2 : $1.5860 (Feb 3 high)

Resistance 1 : $1.5830 (session high)

The current price: $1.5773

Support 1 : $1.5750 (Feb 3 low)

Support 2 : $1.5705 (Feb 1 low, MA(233) H1)

Support 3 : $1.5640/50 (area of Jan 27-30 lows)

Resistance 3 : $1.3205 (Feb 3 high)

Resistance 2 : $1.3170 (resistance line from Feb 1)

Resistance 1 : $1.3130 (session high)

The current price: $1.3087

Support 1 : $1.3065 (Feb 3 low)

Support 2 : $1.3025 (Feb 1 low)

Support 3 : $1.3000 (38.2% FIBO $1.3225-$1.2625)