Asian session: The greenback rallied from the lowest level in almost a month

01:30 Australia Trade Balance April 0.31 0.21 0.03

The greenback rallied from the lowest level in almost a month versus the Japanese currency before U.S. data this week forecast to show the number of applications for unemployment benefits fell and payrolls increased. The Labor Department reported last month that U.S. nonfarm payrolls swelled by 165,000 jobs in April, more than forecast, and the unemployment rate unexpectedly fell to 7.5 percent. It will probably say tomorrow that employers added 165,000 workers in May, another survey showed.

Economists in a separate poll estimate that a Labor Department report today will show applications for jobless benefits slid by 9,000 to 345,000 in the week ended June 1.

A private report yesterday showed U.S. companies hired fewer workers than economists projected, and Japan's Prime Minister Shinzo Abe failed to provide additional detail on stimulus measures. Figures from the Roseland, New Jersey-based ADP Research Institute showed yesterday that U.S. companies boosted employment by 135,000 workers in May. The median forecast of economists surveyed by Bloomberg News was 165,000.

The European Central Bank will probably leave its benchmark interest-rate unchanged when it meets today, according to 57 of 59 economists in a Bloomberg survey. The central bank cut borrowing costs by 25 basis points to an all-time low of 0.5 percent on May 2, and President Mario Draghi signaled he's prepared to cut again if economic data worsen.

Australia's dollar slid to a more than one-year low after the nation's trade surplus narrowed. Exports outpaced imports by A$28 million ($27 million) in April, the Bureau of Statistics said in a report in Sydney today. That was less than the median economist estimate for a A$180 million trade surplus in a Bloomberg News survey.

EUR / USD: during the Asian session the pair traded in the range of $ 1.3075/95

GBP / USD: during the Asian session the pair traded in the range of $ 1.5380-15

USD / JPY: during the Asian session the pair traded in the range of Y98.85-50

There is a full calendar on both sides of the Atlantic Thursday,including policy decisions from both the Bank of England and the ECB. The data calendar gets underway early, with the release of the French first quarter unemployment numbers. At 0730GMT, German Economics Minister Philipp Roesler will deliver a speech at the Asian-German business conference, in Berlin. German data will be released at 1000GMT, when the April manufacturing numbers will cross the wires. At 1145GMT, the ECB June rate decision is expected, to be followed at 1230GMT by President Mario Draghi's press conference. German Chancellor Angela Merkel will give a speech at a construction industry conference, in Berlin at 1320GMT.

At 0700GMT, the UK Halifax house Price index will be released and is expected to underline the continuing recovery in the housing market. UK data will also see the release of the May SMMT Car Registrations numbers, due at 0800GMT. The outcome of the BOE's June policy meeting will be released at 1100GMT. Aside from Governor Sir Mervyn King's reign coming to an end, the meeting itself looks almost inevitably to be a non-event. Analysts are united in the belief policy will be left on hold, with the six-three split repeated yet again. The economic news has largely taken a turn for the better, and only the signs of diminishing inflationary pressures provides any extra ammunition for King's camp, but the majority on the MPC will be in no rush to see how this plays out.