Analytics, News, and Forecasts for CFD Markets: currency news — 25-01-2013.

After completion of a downward correction today with USD / JPY rose steadily, first returning to the area Y90.00, then breaking resistance at Y90.25 and even rose to the field Y91.00. Reaching Y91.20 before the opening of Wall Street, the couple suffered profit taking, which weakened it to support at Y90.80.

After the decision of the Bank of Japan, voiced earlier this week, the couple declined, noting week low at Y88.05, and then fully compensated for loss and strengthened.

At the moment the pair USD / JPY is consolidating in Y91.00.

The EUR / USD fell to an intraday high of $ 1.3474 after being released in the U.S. data showed that the number of newly acquired homes in the U.S. unexpectedly fell in December.

Currently the pair is trading at $ 1.3460, up 0.6% above its opening price.

EUR/USD $1.3250, $1.3300, $1.3350, $1.3385, $1.3400

USD/JPY Y88.50, Y89.00, Y90.00

GBP/USD $1.6025

USD/CHF Chf0.9225, Chf0.9340

Data

09:00 Germany IFO - Business Climate January 102.4 103.1 104.2

09:00 Germany IFO - Current Assessment January 107.1 107.3 108.0

09:00 Germany IFO - Expectations January 97.9 98.5 100.5

09:00 Switzerland World Economic Forum Annual Meetings -

09:30 United Kingdom GDP, q/q (preliminary) IV quarter +0.9% -0.1% -0.3%

09:30 United Kingdom GDP, y/y (preliminary) IV quarter 0.0% +0.2% 0.0%

09:30 United Kingdom Index of Services November +1.1% +0.5% 0.6%

The euro exchange rate rose sharply against the dollar while still achieving the highest level in the past 11 months. Note that this trend was caused by the publication of the data, which showed that the mood among German companies have improved in January, while still achieving the highest level since June last year, which was mainly due to signs of easing of the debt crisis in the eurozone. Research conducted by the Institute of Ifo, showed that the business climate index rose to a seven-month high in January

At this level, reaching 104.2, compared to 102.4 in December. Note that according to the average forecast of economists value of this indicator was increased to 103. The data also showed that this was the third consecutive monthly increase. At the same time, the report showed that the index of current conditions rose this month to the level of 108 to 107.1 in December, but was expected to grow only up to 107.3. Also on the rise in the cost of the single currency had a message the ECB, which said that 278 banks paid 137.16 billion euros in the first three-year LTRO program is January 30. The ECB also said that banks will continue to return the funds received under the first LTRO, every week. However, the ECB did not provide data on the repayment of funds received by banks under LTRO, for selected countries

Yen continued its decline against the dollar and the euro after the published statistics show that in December 2012 the country was in deflation, which increases the probability of making the country's central bank further stimulus measures. It is learned that basic consumer prices in Japan, a calculation which does not include the cost of fresh food, fell last month by 0.2% year on year. Note also that prices in Japan declined for seven of the last eight months. Thus, by the end 2012, the overall consumer prices fell a fourth straight year - by 0.1%.

Pound weakened for a second day against the euro, falling to 13-month low after a report showed the UK economy shrunk in the fourth quarter than analysts had forecast. Sterling fell to the lowest level in five months against the dollar, as the reduction in the UK has put on the brink of an unprecedented triple recession. According to the report, the gross domestic product declined in the fourth quarter by 0.3%, changing the increase of 0.9% in the third quarter, which was mainly due to increased activity during the Olympics. Note that the projected decline economists should have been 0.1%. Compared with the fourth quarter of 2011, GDP was unchanged, as it was in the third quarter, although the experts forecast an increase of 0.2%.

EUR / USD: during the European session, the pair rose to $ 1.3465

GBP / USD: during the European session shows mixed results, and is now trading at $ 1.5806

USD / JPY: during the European session, the pair rose to Y91.19

At 13:30 GMT, Canada will provide the consumer price index and the core consumer price index from the Bank of Canada in December. At 14:55 GMT the U.S. will indicator of consumer confidence from the University of Michigan in January. At 15:00 GMT the U.S. will know about the volume of sales in the primary market in December.

EUR/USD

Offers $1.3485/500, $1.3460, $1.3450

Bids $1.3410/00, $1.3360/50, $1.3325/20, $1.3285/80, $1.3265/60, $1.3250

GBP/USD

Offers $1.5900/10, $1.5870/80, $1.5850/55

Bids $1.5725/20, $1.5705/695, $1.5680/70

AUD/USD

Offers $1.0540, $1.0525, $1.0500, $1.0480, $1.0465/70

Bids $1.0430/00, $1.0350, $1.0300

EUR/JPY

Offers Y123.50, Y123.00, Y122.50

Bids Y121.00, Y120.75/65, Y120.50, Y120.00, Y119.50

USD/JPY

Offers Y92.00, Y91.50, Y91.00

Bids Y90.30/20, Y90.00, Y89.80, Y89.50

EUR/GBP

Offers stg0.8600, stg0.8580, stg0.8550

Bids stg0.8480, stg0.8450, stg0.8415/00, stg0.8385/75

EUR/USD $1.3200, $1.3250, $1.3300, $1.3340, $1.3350, $1.3375, $1.3400

USD/JPY Y89.00, Y89.25, Y89.50, Y89.00, Y90.00

GBP/USD Y140.50

AUD/USD $1.0550

The yen fell for the first time in four days versus the dollar after Deputy Economy Minister Yasutoshi Nishimura said its decline isn’t over and a level of 100 versus the U.S. currency wouldn’t be a concern.

The Japanese currency dropped against all of its 16 most- traded peers after a Chinese report showed manufacturing expanded at the fastest in two years, reducing demand for the yen as a refuge. Japan’s currency fell in early Asian trading after HSBC Holdings Plc and Markit Economics said their preliminary reading of China’s Purchasing Managers’ Index increased to 51.9 in January from 51.5 the previous month. The data suggest China’s expansion at the start of 2013 will equal or exceed its 7.9 percent pace in the fourth quarter.

The euro strengthened against most of its major counterparts after Markit Economics released its survey of purchasing managers in manufacturing and services.

A composite index based on the survey climbed to 48.2 this month from 47.2 in December, the data showed. A reading below 50 indicates contraction.

Asian currencies also fell against the dollar after it was reported that North Korea may begin testing nuclear weapons.

Exchange rate euro strengthened against the dollar after the regional report showed that activity in the private sector continued to decline in January, but at a slower pace than many economists had forecast. According to the data, the composite index of production, which measures activity in the manufacturing sector and the services sector rose this month to 10-month high, reaching 48.2, compared to 47.2 in December, as well as the expectations of experts at around 47, 5. Meanwhile, the index of business activity in the services sector rose to a level of 48.3, up from 47.8 in December, while the index of business activity in the manufacturing sector rose to 47.5 from 46.1 mark.

The pound fell after the published data on the UK showed that the number of approved applications for mortgage loans remained almost unchanged in December, reaching with 33.6 thousand units, while analysts had expected growth to 34.1. Not helped the pound and retail sales data, which growth slowed slightly in January, but was still higher than expected. According to studies, which cover the first two weeks of January 2013, 41% of retailers reported an increase in sales compared to last year, while 24% reported a fall, resulting in retail sales was 17. Note that the average predicted value of this index was to drop to 10, compared to 19 in December.

23:30 Japan National Consumer Price Index, y/y December -0.2% -0.2% -0.1%

23:30 Japan National CPI Ex-Fresh Food, y/y December -0.1% -0.2% -0.2%

23:30 Japan Tokyo Consumer Price Index, y/y January -0.6% -0.6% -0.6%

23:30 Japan Tokyo CPI ex Fresh Food, y/y January -0.6% -0.5% -0.5%

23:50 Japan Monetary Policy Meeting Minutes January

The yen headed for a record stretch of weekly losses against the dollar as data showing a decline in Japanese consumer prices added to the case for further monetary stimulus from the central bank. Japanese consumer prices excluding fresh food fell 0.2 percent in December from a year earlier, the statistics bureau reported in Tokyo today, the seventh decline in eight months.

The Bank of Japan announced open-ended easing and a 2 percent inflation target this week. The Japanese currency remained weaker after touching a 2 1/2-year low as Governor Masaaki Shirakawa said he will make “considerable efforts” to reach the price target.

The Dollar Index rose before U.S. data forecast to show home sales increased. The dollar was supported before a report which may show home sales in the U.S. increased. Purchases of new houses probably climbed to a 385,000 annual rate in December, according to the median estimate of economists in a Bloomberg News survey, which would be the best showing since April 2010. The National Association of Realtors releases the data today.

Losses in the euro were limited before data forecast to show a rise in business confidence in Germany, Europe’s largest economy. Economists polled by Bloomberg expect the Ifo institute’s business climate index, based on a survey of 7,000 executives, climbed to 103 this month from 102.4 last month. That would be the highest since July.

EUR/USD: during the Asian session the pair fell to $1.3350.

GBP/USD: during the Asian session the pair fell to the previous day's low.

USD/JPY: during the Asian session, the pair rose to Y90.70, updating monthly high.

Germany Ifo due at 0900GMT to provide early interest but this will be overshadowed by the LTRO repayment announcement around 1100GMT. The World Economic Forum continues in Davos Friday and along with the scheduled appearances on the main conference stage, the day is likely to be dotted with ad hoc comment from policy makers. There is also a full ata calendar, starting at 0700GMT with the release of the German November construction numbers. At 0930GMT, the latest UK GDP data is released, giving an early glimpse at the fourth quarter growth numbers.

(pare/closed(00:00 GMT +02:00)/change, %)

EUR/USD $1,3376 +0,44%

GBP/USD $1,5789 -0,34%

USD/CHF Chf0,9286 -0,06%

USD/JPY Y90,33 +1,93%

EUR/JPY Y120,81 +2,33%

GBP/JPY Y142,60 +1,56%

AUD/USD $1,0450 -1,00%

NZD/USD $0,8378 -0,29%

USD/CAD C$1,0024 +0,34%

09:00 Germany IFO - Business Climate January 102.4 103.1

09:00 Germany IFO - Current Assessment January 107.1 107.3

09:00 Germany IFO - Expectations January 97.9 98.5

09:00 Switzerland World Economic Forum Annual Meetings -

09:30 United Kingdom GDP, q/q (preliminary) IV quarter +0.9% -0.1%

09:30 United Kingdom GDP, y/y (preliminary) IV quarter 0.0% +0.2%

09:30 United Kingdom Index of Services November +1.1% +0.5%

13:30 Canada Consumer Price Index m / m December -0.2% -0.2%

13:30 Canada Consumer price index, y/y December +0.8% +1.2%

13:30 Canada Bank of Canada Consumer Price Index Core, m/m December 0.0% -0.2%

13:30 Canada Bank of Canada Consumer Price Index Core, y/y December +1.2% +1.5%