CFD Markets News and Forecasts — 28-02-2013

The euro fell against the dollar, registering with the first monthly decline since July, which was associated with the Italian political disputes about the formation of the government, as well as against decrease in the inflation rate in the euro area, which "opens the door" to stimulate the part of the central bank.

The euro also weakened against most other major currencies, after last night European Central Bank President Mario Draghi signaled that the ECB is not going to hold tighter monetary policy in the near future.

Note that the strengthening of the dollar did not prevent even the GDP data. A report published by the Ministry of Commerce, showing that GDP grew at an annual rate of 0.1 percent in the fourth quarter, compared with a 0.1 percent drop, which was originally reported. Economists had expected a more substantial revision to the consensus forecast of growth of 0.5 percent.

The pound was little changed in the course of trading, as the presented data showed that consumer confidence index from Gfk was -26 in February, unchanged from the previous month. Also note that this value is fully in line with economists' forecasts.

New Zealand's dollar strengthened against the U.S. dollar after the Reserve Bank of New Zealand said that business confidence rose this month to the level of 39.4, compared with 22.7 in the previous month.

The Canadian dollar fell for the first time in three days against the dollar, as data showed that the country's balance of payments deficit fell less than forecast, adding speculation that tomorrow's report will show that the economy contracted in December.

Note that the seasonally adjusted deficit of the balance of payments has decreased in the last quarter to the level of 17.26 billion Canadian dollars, while the data for the previous quarter, revised up to 1.04 billion Canadian dollars. Meanwhile, the Bureau of Statistics reported that the decline was the highest since Q3 2011. Also, the data showed that for the full year deficit of 66.94 billion Canadian dollars, the highest level since 2010.

Yen remains under pressure after Japanese Prime Minister Shinzo Abe today nominated to head the Central Bank Harika Kuroda, currently headed by the Asian Development Bank. In an interview on February 11, Kuroda said he was in favor of additional incentive programs this year, and noted that the central bank has "significant opportunities for this."

European (SXXP) stocks climbed, with the benchmark index rising for a ninth straight month, as European Central Bank President Mario Draghi and Federal Reserve Chairman Ben S. Bernanke signaled they would maintain monetary support.

The Stoxx Europe 600 Index gained 1 percent to 289.94 at the close of trading, extending its advance this month to 1 percent, for its longest monthly winning streak since 1997.

A Labor Department report showed that fewer Americans filed applications for unemployment benefits last week. Initial jobless claims fell by 22,000 to 344,000 in the week ended Feb. 23, compared with the median forecast of economists that called for 361,000.

The U.S. economy managed to barely expand in the fourth quarter. Gross domestic product grew at a 0.1 percent annual rate, up from a previously estimated 0.1 percent drop, revised figures from the Commerce Department showed today in Washington. The median forecast of economists called for a 0.5 percent gain.

National benchmark indexes rose in all of the 18 western- European markets except Portugal today.

FTSE 100 6,360.81 +34.93 +0.55% CAC 40 3,723 +31.51 +0.85% DAX 7,741.7 +65.87 +0.86%

Bayer increased 2.7 percent to 75.86 euros after saying sales will rise to about 41 billion euros ($53.9 billion) this year. Fourth-quarter earnings before interest, taxes, depreciation, amortization and special items increased 18 percent to 1.83 billion euros from 1.54 billion euros a year earlier, in line with analysts’ estimates.

Telefonica (TEF) added 20 cents to 10 euros after reporting fourth-quarter earnings that beat analysts’ estimates as sales growth in Latin America helped to offset revenue declines in its domestic market. Operating income before depreciation and amortization fell 8.6 percent to 5.45 billion euros, compared with projections for 5.44 billion euros.

HSBC Holdings Plc (HSBA) gained 0.9 percent to 731.4 pence. Europe’s largest bank by market value may say pretax profit in 2012 rose 7.4 percent to $23.5 billion when it reports earnings on March 4.

Standard Chartered Plc (STAN) may say pretax profit last year climbed to $7.12 billion from $6.78 billion, according to the median estimate of analysts. The stock increased 1.2 percent to 1,796 pence.

International Consolidated Airlines Group SA (IAG) rallied 7.9 percent to 239.2 pence, its highest price since July 26, 2011. Europe’s third-largest carrier had a full-year operating loss of 23 million euros, excluding one-time items, compared with a 485 million-euro profit a year earlier. Analysts had expected an 88 million-euro loss.

Oil prices fluctuate due to data presented today, which showed that the U.S. economy expanded in the fourth quarter, far less than economists forecast. A report published by the Ministry of Commerce, showing that GDP grew at an annual rate of 0.1 percent in the fourth quarter, compared with a 0.1 percent drop, which was originally reported. Economists had expected a more substantial revision to the consensus forecast of growth of 0.5 percent. Note that GDP growth in the 4th quarter was the weakest since in the second half of 2009, the restoration of which continues to this day. The data also showed that by the end of 2012, the economy grew by 2.2 percent after a 1.8 percent increase the previous year. At the same time, it became known that federal military spending declined in the last quarter by 22%, which was the largest decline since 1972.

We also add that if today's session closes lower, it will be the first monthly fall in prices since last October.

In addition, note that, according to forecasts of the Ministry of Energy of U.S. oil consumption, which is the world's largest consumer of oil, will be at 18.65 million barrels.

April futures price of U.S. light crude oil WTI (Light Sweet Crude Oil) fell to 92.58 dollars a barrel on the New York Mercantile Exchange.

April futures price for North Sea petroleum mix of mark Brent rose 24 cents and is now $ 112.20 a barrel on the London Stock Exchange ICE Futures Europe.

Gold futures prices fell today, going with for the biggest monthly drop in 16 years, as signs of economic optimism led to a decrease in demand for the metal as a safe-haven.

Also, the price of gold was pressured announced today the U.S. data, which showed that the number of initial claims for unemployment benefits in the week ended Feb. 23 fell much more than expected. This fact points to the favorable situation on the labor market before the large-scale reductions in government expenditures, which should start from Friday. Note that the primary applications for unemployment benefits in the U.S. fell by 22,000 to 344,000, while the consensus forecast was at 361 thousand Meanwhile, secondary applications for unemployment benefits in the U.S. last week fell 10-16 February by 91 million to 3.074 million In addition, it was reported that the number of initial claims for unemployment benefits in the U.S. for the week 10-16 February were revised up to 366 thousand from 362 thousand

No less important event, which also affected the precious metal was a report on Germany, which showed that the number of unemployed in February rose to 3.156 million people, the highest level since March 2011, against 3.138 million in January. Seasonal growth was somewhat weaker than in previous years, but not enough to cause a change in the unemployment rate, which remained without correction of 7.4%

Commenting on the situation, economists point out that gold is no longer the preferred asset, as many investors around the world are becoming aware of the fact that economic conditions are showing some signs of improvement.

In addition, data released today showed that the gold in the SPDR Gold Trust fell by 12 metric tons to 1,258.4 tons while still achieving its lowest level since August, and fixed with the seventh session decline in a row.

March futures price of gold on COMEX today dropped, and now stands at 1582.70 dollars per ounce.

Eurocoin indicator, a measure of economic climate in the euro area, rose for a third consecutive month in February to its highest level in eight months, survey data from the Bank of Italy and the think tank CEPR showed Thursday.

The eurocoin indicator, designed to reflect the current economic situation in the Eurozone, climbed to -0.20 from January's -0.23. The score is the highest since June last year.

The modest improvement is ascribable chiefly to the favorable results of the surveys on industrial firms' confidence, the report said.

Chicago-area business activity unexpectedly increased at a faster rate in the month of February, according to a report released by the Institute for Supply Management - Chicago on Thursday, with the business barometer rising to its highest level since March of 2012.

The report said the Chicago business barometer rose to 56.8 in February from 55.6 in January, with a reading above 50 indicating an increase in business activity. The increase came as a surprise to economists, who had expected the barometer to edge down to 54.1.

Germany's EU harmonized inflation slowed less than economists expected in February, latest data showed Thursday.

Inflation as per the harmonized index of consumer prices (HICP) dropped to 1.8 percent in February from 1.9 percent in January, preliminary data from the Federal Statistical Office showed. Economists had forecast a faster deceleration to 1.7 percent.

On a monthly basis, the HICP increased 0.8 percent in January, faster than the 0.7 percent gain economists had forecast.

At the same time, the consumer price index increased 1.5 percent year-on-year in February, after rising 1.7 percent in January. Economists had forecast the inflation rate to remain unchanged.

Compared to January, the consumer price index moved up 0.6 percent in February, while economists were looking for a 0.7 percent gain, data showed.

U.S. stock-index futures remained little changed after government data showed gross domestic product grew less than economists forecast at the end of 2012 while jobless claims decreased more than estimated last week.

Global Stocks:

While fourth quarter U.S. GDP data was revised to show economic growth compared to the previously reported contraction, the pace of growth fell well short of economist estimates.

A report released by the Commerce Department on Thursday said GDP increased at an annual rate of 0.1 percent in the fourth quarter compared to the 0.1 percent drop that was originally reported.

Economists had been expecting a more substantial upward revision, with the consensus estimate calling for the revised report to show 0.5 percent growth.

JPMorgan Chase (JPM) was reiterated at “Mkt Perform” at FBR Capital, target raised from $43 to $46

In an upbeat sign for the job market, the Labor Department released a report on Thursday showing that first-time claims for U.S. unemployment benefits fell by much more than anticipated in the week ended February 23rd.

The report said initial jobless claims dropped to 344,000, a decrease of 22,000 from the previous week's revised figure of 366,000.

Economists had expected jobless claims to edge down to 360,000 from the 362,000 originally reported for the previous week.

EUR/USD $1.2985, $1.3050, $1.3100, $1.3160, $1.3170, $1.3190, $1.3250, $1.3300

USD/JPY Y91.25, Y91.40, Y91.50, Y92.00, Y93.00

EUR/JPY Y120.00, Y120.50

USD/CHF Chf0.9235, Chf0.9270

AUD/USD $1.0125, $1.0150, $1.0200, $1.0235, $1.0250

AUD/NZD NZ$1.2400

06:45 Switzerland Gross Domestic Product (QoQ) Quarter IV +0.6% 0.0% +0.2%

06:45 Switzerland Gross Domestic Product (YoY) Quarter IV +1.2% +0.9% +1.4%

07:45 France Consumer spending January +0.2% -0.1% -0.8%

07:45 France Consumer spending, y/y January -0.1% 0.0% -0.2%

08:55 Germany Unemployment Change February -16 -5 -3

08:55 Germany Unemployment Rate s.a. February 6.8% 6.8% 6.9%

10:00 Eurozone Harmonized CPI January +0.4% -0.1% -0.1%

10:00 Eurozone Harmonized CPI, Y/Y (Finally) January +2.0% +2.0% +2.0%

10:00 Eurozone Harmonized CPI ex EFAT, Y/Y January +1.5% +1.5% +1.3%

13:00 Germany CPI, m/m (Preliminary) February -0.5% +0.7% +0.6%

13:00 Germany CPI, y/y (Preliminary) February +1.7% +1.7% +1.5

Euro fluctuates against the U.S. dollar amid mixed macroeconomic data and ongoing uncertainty in Italy.

Pressure on the euro was data on the labor market in Germany, according to which the number of unemployed in Germany in February rose to 3.156 million people, the highest level since March 2011, against 3.138 million in January.

A separate report showed that the annualized net Eurozone CPI rose 1.3% in January against 1.5% in December, according to Eurostat. According to forecasts of expected value unchanged. In monthly terms, CPI fell by 1% in January against 0.4% in December. Annual CPI rose 2% from 2.2% previously. Both results coincided with forecasts. In February, a preliminary index of consumer prices in Germany rose 0.6% m / m and 1.5% y / y vs. +0.7% and +1.6% respectively.

Euro retreated from session lows against the background of the ECB representative Novotny that "the dollar exchange rate against the euro is in the historic range, there is no reason for the intervention of nervousness." Nowotny also said that the economic situation has markedly improved compared to what it was a year ago.

Yen remains under pressure after Japanese Prime Minister Shinzo Abe today nominated to head the Central Bank Harika Kuroda, currently headed by the Asian Development Bank. In an interview on February 11, Kuroda said he was in favor of additional incentive programs this year, and noted that the central bank has "significant opportunities for this."

The focus of market participants out of the revised U.S. GDP data for the 4th quarter of 2012. Analysts predict that the U.S. economy will grow by 0.5%. Thus, GDP growth slowed down compared to GDP growth of 3.1% in the third quarter. Also today, a report will be published by U.S. Department of Labor on the number of initial claims for unemployment benefits. According to the median estimate of economists, the number of citizens who first applied for unemployment benefits last week, dropped to 360 thousand from 362 thousand

EUR / USD: during the European session the pair fell to the low of $ 1.3095 and then recovered in the area of ​​$ 1.3130

GBP / USD: during the European session, the pair rose to a new high of $ 1.5221

USD / JPY: during the European session, the pair is trading in the range of Y92.00-50

At 13:30 GMT, Canada will release the balance of the current account balance of payments for the 4th quarter and the index of commodity prices for January. At 13:30 GMT the U.S. will increase GDP by the specified data, the GDP price index, the index of personal consumption expenditures, the main index of personal consumption expenditures for the 4th quarter, the number of initial claims for unemployment insurance, the number of repeated applications for unemployment benefits, and at 14:45 GMT will be published on the Chicago PMI index for February. In Japan, 23:30 GMT will come changes in the volume level of household spending in January, the index of consumer prices in Tokyo, including excluding prices for fresh food, as well as excluding prices for food and energy in February, the consumer price index, including excluding prices for fresh food, as well as prices excluding food and energy prices in January, at 23:50 GMT will change in the volume of capital expenditure, excluding spending on software for the 4th quarter.

European stocks climbed, with the benchmark index heading for its ninth straight monthly gain, as European Central Bank President Mario Draghi and Federal Reserve Chairman Ben S. Bernanke signaled they would maintain monetary support measures.

Draghi signaled the bank has no intention of tightening monetary policy anytime soon with inflation projected to “significantly” undershoot its 2 percent target next year.

While the ECB’s balance sheet may shrink naturally as confidence returns to financial markets and banks repay emergency loans, policy makers are far from considering an exit from monetary stimulus, Draghi said at an event in Munich late yesterday.

Bernanke yesterday defended record stimulus to Congress, saying accommodation has helped reduce borrowing costs and spur growth. He also said the central bank may decide to hold bonds on its $3.1 trillion balance sheet to maturity as part of a review of its strategy for an exit from record monetary easing.

Italy is headed for a broad coalition government as bondholders pressure Pier Luigi Bersani and Silvio Berlusconi to set aside their rivalries and form a partnership, said Finance Undersecretary Gianfranco Polillo.

Bayer increased 2.4 percent to 75.60 euros after saying sales will rise to about 41 billion euros ($53.9 billion) this year. Fourth-quarter earnings before interest, taxes, depreciation, amortization and special items increased 18 percent to 1.83 billion euros from 1.54 billion euros a year earlier, in line with analysts’ estimates.

Telefonica added 21 cents to 10.01 euros after reporting fourth-quarter earnings that beat analysts’ estimates as sales growth in Latin America helped to offset revenue declines in its domestic market. Operating income before depreciation and amortization fell 8.6 percent to 5.45 billion euros, compared with projections for 5.44 billion euros.

FTSE 100 6,338.2 +12.32 +0.19%

CAC 40 3,702.68 +11.19 +0.30%

DAX 7,726.61 +50.78 +0.66%

Unemployment in Germany declined unexpectedly in February and for a third consecutive month, suggesting that the economy has started to recover in the first months of 2013 after a contraction in the final quarter of 2012.

The number of unemployed declined by 3,000 in February from the previous month to 2.917 million, the Federal Labor Agency said Thursday. This was contrary to expectations for no change. In January, unemployment fell by a revised 14,000.

The jobless rate held steady at 6.9 percent for a fourth consecutive month in February, above the consensus forecast of 6.8 percent.

The Federal Statistical Office said earlier today that the unemployment rate in Germany remained unchanged at 5.3 percent on an adjusted basis in January. On the other hand, the unadjusted jobless rate rose to 5.9 percent in January from 5.3 percent in December, according to the statistical office.

EUR/USD $1.2985, $1.3050, $1.3100, $1.3160, $1.3170, $1.3190, $1.3300

USD/JPY Y91.25, Y91.40, Y91.50, Y92.00, Y93.00

EUR/JPY Y120.00, Y120.50

USD/CHF Chf0.9235, Chf0.9270

AUD/USD $1.0125, $1.0150, $1.0200, $1.0250

Asian stocks rose, with the regional benchmark index heading for its biggest jump in five months, after U.S. economic data bolstered confidence in the global recovery and as Japanese Prime Minister Shinzo Abe nominated a new central bank governor.

Nikkei 225 11,559.36 +305.39 +2.71%

Hang Seng 23,020.27 +443.26 +1.96%

S&P/ASX 200 5,104.08 +67.49 +1.34%

Shanghai Composite 2,365.59 +52.37 +2.26%

Japan’s Nikkei 225 posted its longest monthly winning streak since 2006 amid speculation Abe’s nominee, Asian Development Bank President Haruhiko Kuroda, will push for more monetary stimulus.

In Sydney, James Hardie Industries SE, a building-materials supplier that gets 67 percent of sales from the U.S., gained 3.2 percent.

New World Development Co., a Hong Kong builder controlled by billionaire Cheng Yu-tung, rose 3.6 percent after posting earnings that beat estimates.

The euro rose to a seven-week low against the dollar, as investors increased their bets that the European Central Bank will intervene in the situation to limit losses from so-called "peripheral bonds." Note also that the yield on the bond markets of Italy and Spain nearly grown, and the Italian banking stocks suffered heavy losses. As follows from the recent comments, a former prime country Berlusconi ruled out an alliance with the center-left Party of Monti.

The yen rose against all major currencies, as many investors have begun to use this currency as a safe-haven.

The dollar index fluctuated after Federal Reserve Chairman Ben Bernanke said the U.S. economy will continue to recover in 2013, but the situation on the labor market and the economy as a whole is weak, and therefore, further mitigation is necessary. Bernanke's comments indicate that he supports an extension of the Fed's bond purchases by 85 billion dollars. Note also that Bernanke did not mention about the difference in the views of the commission members FOMC, but touched all the issues that are of concern. Federal Reserve Chairman Ben Bernanke called on the White House and Congress to make adjustments and replace sharp automatic spending cuts, known as sequestration. In the view of the Fed automatic spending cuts, which are expected to come into force on Friday, in order to reduce the deficit can affect the pace of economic recovery. Bernanke believes that the gradual reduction of costs in the short term will not remove completely fiscal risks. However, Bernanke believes in the long-term effect will be more significant.

Swiss franc rose to a six-week high against the euro on speculation that Italy will need a second vote after the inconclusive election results, which immediately increased the demand for the relative safety of the franc.

Asian stocks outside Japan gained after U.S. housing and consumer confidence data beat estimates. Japanese shares fell as the yen rose ahead of an Italian bond sale, with yields surging after the nation’s deadlocked election stoked debt crisis concern.

Nikkei 225 11,253.9 -144.84 -1.27%

Hang Seng 22,577.01 +57.32 +0.25%

S&P/ASX 200 5,036.59 +33.03 +0.66%

Shanghai Composite 2,313.22 +19.88 +0.87%

Techtronic Industries Co., a power-tool maker that counts the U.S. as its biggest market, advanced 5.8 percent in Hong Kong.

Canon Inc., a Japanese camera maker that gets 29 percent of its sales in Europe, lost 2.7 percent.

European stocks climbed, rebounding from the lowest level in more than two weeks, as companies from European Aeronautic, Defence & Space Co. to Bouygues (EN) SA reported results that beat analysts’ estimates.

The Stoxx Europe 600 Index (SXXP) gained 0.9 percent to 287.17 at the close of trading after earlier falling as much as 0.3 percent.

Economic confidence in the euro area increased more than economists forecast in February, adding to signs that the 17- nation currency bloc may be emerging from a recession.

In the U.S., orders for durable goods excluding transportation gear climbed in January by the most in a year. Bookings for equipment meant to last at least three years minus demand for things such as aircraft, which is often volatile, climbed 1.9 percent, exceeding the median forecast of economists and the most since December 2011, Commerce Department data showed. Contracts to purchase previously owned U.S. homes climbed more than forecast.

National benchmark indexes climbed in 14 of the 18 western European markets.

FTSE 100 6,325.88 +55.44 +0.88% CAC 40 3,691.49 +69.57 +1.92% DAX 7,675.83 +78.72 +1.04%

EADS (EAD) advanced 6.5 percent to 37.14 euros, the highest price since the shares started trading in July 2000. The company reported a 68 percent gain in full-year earnings before interest, taxes and one-time items to 3 billion euros, beating the average analyst estimate of 2.57 billion euros.

Bouygues rallied 13 percent to 21.96 euros, the biggest jump since August 2011. France’s second-largest builder reported a 41 percent drop in 2012 profit to 633 million euros as its phone unit suffered from competition. That still beat the average analyst estimate of 584 million euros.

Swiss Life Holding AG (SLHN) jumped 8.7 percent to 151.90 francs, the largest increase since March 2009, as Switzerland’s biggest life insurer reported higher operating profit in its home market and France.

Bwin.Party Digital Entertainment Plc (BPTY), the gambling company that has a partnership with Atlantic City’s top-grossing casino, soared 8.9 percent to 150 pence, after New Jersey Governor Chris Christie signed legislation authorizing online gambling in the state.

Kabel Deutschland slid 2.55 euros to 67.03 euros after three people familiar with the matter said Vodafone put on hold plans to approach Kabel about a takeover bid after leaks of a potential offer complicated internal discussions.

Royal Imtech NV (IM) sank 11 percent to 8.65 euros, its lowest price since May 2005, after it announced a 500 million-euro rights offer to help cut debt.

U.S. stocks advanced, sending the Dow Jones Industrial Average toward a five-year high

Equities rose as contracts to purchase previously owned U.S. homes climbed more than forecast in January, a sign the industry will keep strengthening this year. Orders for U.S. durable goods excluding transportation equipment climbed in January by the most in a year, indicating business investment is holding up.

Federal Reserve Chairman Ben S. Bernanke said the central bank has the “tools” necessary to scale back record stimulus and avert a rise in inflation expectations, in congressional testimony that was identical to his remarks yesterday to the Senate Banking Committee.

American stocks also joined a rally in Europe as Italy sold 6.5 billion euros ($8.5 billion) of five- and 10-year bonds in its first auction following inconclusive election results that pushed yields to a four-month high yesterday.

Apple (AAPL) fell 0.5 percent to $446.73. Chief Executive Officer Tim Cook said he’s in “very, very active” talks about what to do with the company’s growing cash pile. Yet his comments were not enough to assuage investors seeking more clarity on his plans to return cash to shareholders.

Cook is being urged to return some of the $137.1 billion on Apple’s balance sheet to investors in the form of increased dividends, stock buybacks or new class of preferred shares. The calls have grown louder as the stock has fallen by about a third from a September peak amid concerns about slowing sales and profit growth. The CEO said he and other executives are “focused on the long term” and aren’t happy with the falling stock price.

All DOW components, except McDonald's Corp. (MCD, -0.44%) and Hewlett-Packard Company (HPQ, -0.10%), ended session on positive territory. Shares of JPMorgan Chase & Co. (JPM, +3.70%) advanced more than other components.

All sectors of the S&P closed in plus. Most growts showed sector of industrial goods (+1.9%)

On result of yesterdays session:

Dow +176.32 14,076.45 +1.27%

Nasdaq +32.61 3,162.26 +1.04%

S&P +19.09 1,516.03 +1.28%

00:00 New Zealand ANZ Business Confidence December 22.7 39.4

00:00 Australia HIA New Home Sales, m/m January +6.2% +4.2%

00:01 United Kingdom Gfk Consumer Confidence February -26 -26 -26

00:30 Australia Private Capital Expenditure Quarter IV +2.8% +1.1% -1.2%

00:30 Australia Private Sector Credit, m/m January +0.4% +0.3% +0.2%

00:30 Australia Private Sector Credit, y/y January +3.6% +3.7% +3.6%

05:00 Japan Housing Starts, y/y January +10.0% +8.9% +5.0%

The yen remained lower after a two- day drop as Prime Minister Shinzo Abe nominated Asian Development Bank President Haruhiko Kuroda to be the next Bank of Japan governor, raising the prospects for more stimulus. Kuroda said in a Feb. 11 interview he favors additional stimulus this year, and the central bank has “really substantial room for monetary easing.” Japan’s currency held declines versus most major peers after Abe also named Kikuo Iwata, an economics professor, and BOJ official Hiroshi Nakaso as deputy governor candidates.

The greenback was set to complete a monthly gain against most main counterparts before data that may show the U.S. economy expanded in the fourth quarter rather than contracted. The greenback may extend monthly gains today with a Commerce Department report estimated to show gross domestic product rose an annualized 0.5 percent in the fourth quarter, compared with the preliminary estimate of a 0.1 percent contraction, according to the median forecast of economists surveyed by Bloomberg News. Recent U.S. data has showed a narrower trade deficit, more construction spending and a pickup in business investment.

Australia’s dollar rallied after a report showed companies will continue to invest into next year, lessening the chance of interest-rate cuts. In Australia, companies forecast they will spend A$152.5 billion ($156.7 billion) in 2013-14, compared with an estimated A$168.2 billion in 2012-2013, the Bureau of Statistics said today in Sydney. Fourth-quarter capital spending fell 1.2 percent from the previous three-month period, when it rose a revised 1.1 percent. The median estimate of economists surveyed by Bloomberg was for a 1 percent increase.

EUR/USD: during the Asian session, the pair traded in the range of $ 1.3130-60.

GBP/USD: during the Asian session, the pair traded in the range of $ 1.5155-75.

USD/JPY: during the Asian session, the pair traded in the range of Y92.15-65.

Change % Change Last

Oil $92.85 +0.09 +0.10%

Change % Change Last

Nikkei 225 11,253.9 -144.84 -1.27%

Hang Seng 22,577.01 +57.32 +0.25%

S&P/ASX 200 5,036.59 +33.03 +0.66%

Shanghai Composite 2,313.22 +19.88 +0.87%

CAC 40 3,691.49 +69.57 +1.92%

DAX 7,675.83 +78.72 +1.04%

Dow +176.32 14,076.45 +1.27%

Nasdaq +32.61 3,162.26 +1.04%

S&P +19.09 1,516.03 +1.28%

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

EUR/USD $1,3138 +0,59%

GBP/USD $1,5156 +0,22%

USD/CHF Chf0,9294 -0,25%

USD/JPY Y92,23 +0,28%

EUR/JPY Y121,13 +0,83%

GBP/JPY Y139,80 +0,52%

AUD/USD $1,0233 +0,06%

NZD/USD $0,8275 +0,34%

USD/CAD C$1,0230 -0,28%

00:00 New Zealand ANZ Business Confidence December 22.7

00:00 Australia HIA New Home Sales, m/m January +6.2%

00:01 United Kingdom Gfk Consumer Confidence February -26 -26

00:30 Australia Private Capital Expenditure Quarter IV +2.8% +1.1%

00:30 Australia Private Sector Credit, m/m January +0.4% +0.3%

00:30 Australia Private Sector Credit, y/y January +3.6% +3.7%

05:00 Japan Housing Starts, y/y January +10.0% +8.9%

06:45 Switzerland Gross Domestic Product (QoQ) Quarter IV +0.6% 0.0%

06:45 Switzerland Gross Domestic Product (YoY) Quarter IV +1.4% +0.9%

07:45 France Consumer spending January 0.0% -0.1%

07:45 France Consumer spending, y/y January -0.1% 0.0%

08:55 Germany Unemployment Change February -16 -5

08:55 Germany Unemployment Rate s.a. February 6.8% 6.8%

10:00 Eurozone Harmonized CPI January +0.4% -0.1%

10:00 Eurozone Harmonized CPI, Y/Y (Finally) January +2.0% +2.0%

10:00 Eurozone Harmonized CPI ex EFAT, Y/Y January +1.5% +1.5%

13:00 Germany CPI, m/m (Preliminary) February -0.5% +0.7%

13:00 Germany CPI, y/y (Preliminary) February +1.7% +1.7%

13:30 Canada Industrial Product Prices, m/m January 0.0% +0.2%

13:30 Canada Current Account, bln Quarter IV -18.9 -16.3

13:30 Canada Raw Material Price Index January -2.0% +1.1%

13:30 U.S. Personal Consumption Expenditure Deflator Quarter IV +2.2% +2.3%

13:30 U.S. Core Personal Consumption Expenditure - Prices Index, y/y Quarter IV +0.9% +0.9%

13:30 U.S. Initial Jobless Claims 362 361

13:30 U.S. GDP, q/q (Revised) Quarter IV -0.1% +0.5%

14:45 U.S. Chicago Purchasing Managers' Index February 55.6 54.1

17:30 U.S. FOMC Member Raskin Speaks

22:30 Australia AIG Manufacturing Index February 40.2

23:30 Japan Household spending Y/Y January -0.7% +0.5%

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

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

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

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

23:30 Japan Unemployment Rate January 4.2% 4.2%

23:50 Japan Capital Spending Quarter IV +2.2% -7.0%