American focus: market consolidates before Bernanke and Trichet schedule.[E]

USD remained almost the same after the 13 months minimum drop against EUR. The dollar was pressured on speculations ECB this week will hike its key rate on 50 b.p.

There is no doubt among experts that on June, 8th ECB will raise the rate at least on 25 b.p, making it 2.75 %. " The market is so assured, that ECB will raise itтАЩs borrowing costs on 50 b.p., that the smaller figures will inevitably cause disappointment, " speaks Boris Schlossberg the main currency strategist New York Forex Capital Markets LLC.

Royal Bank of Scotland also predict such hike. We shall remind, what expectations of difference of interest rates reduction between the USA and the Europe became a principal cause of EUR growth again USD in a years advance on 9%.

Meanwhile Friday Payrolls Payrolls (К) диаграмма led to reducing expectations FED will raise its rate Federal Funds 25 years диаграмма/

In the present time the interest rate future is priced in 48% a chance FOMC will bring its key rate to 5.25% on 29 June meeting. Before the Payrolls such possibility was 72%.

Today's Jean-Claude Trichet speech which will begin in Washington at 18:15 GMT can clear a situation concerning further ECB intentions.

Besides the market focus will be on Fed chairman Ben Bernanke report and Toshiro Muto from BOJ.

Todays data became obvious for a market.

The Institute for Supply Management's index ISM fell to 60.1 in May from 63 the prior month. Price a component of ISM manuf. диаграмма has grown with 70.5 up to 77.5, the little below a historical maximum 78.4 in September 2005. The given fact can testify preservation of price pressure in economy of the USA.

In case the given tendency will be confirmed by the next increase of core CPI, fears of interest rates increase by FED can renew and support the dollar.