Asian session review: Dollar keeps positive mood

Data released:
06:00     Germany     GDP (Q2) revised    0.1%    0.1%    1.5%
06:00     Germany     GDP (Q2) revised Y/Y    2.7%    2.7%    4.9%
06:00     UK     Nationwide house price index (August)    -0.6%    0.1%    0.2%
06:00     UK     Nationwide house price index (August) Y/Y    -0.4%    -    -0.4%
07:45     Italy     PMI (August)    47.0    49.1    50.1
07:50     France     PMI (August)    49.1    49.3    50.5
07:55     Germany     PMI (August) seasonally adjusted    50.9    52.0    52.0
08:00     EU(17)     PMI (August)    49.0    49.7    50.4
08:30     UK     CIPS manufacturing index (August)    49.0    48.8    49.1

The euro tumbled to the lowest in almost two weeks against the dollar as concern Europe’s sovereign-debt crisis may worsen curbed demand for the currency.
The 17-nation shared currency declined against all but three of its 16 major peers, as Spanish and Italian borrowing costs rose before Spain auctions debt. Economic growth in Germany, the euro region’s largest economy, slowed in the second quarter as data showed household spending declined.
Germany’s economic growth slowed to 0.1 percent in the second quarter, from 1.3 percent in the first three months of the year, the nation’s Federal Statistics Office said today, confirming its initial Aug. 16 estimate.
The yen fell against all but one of its major peers as gains in Asian stocks sapped demand for safer assets.

EUR/USD from  $1.4370 retreated to current $1.4260.
GBP/USD also retreats after it earlier tested $1.6250 and currently holds at $1.6200.
USD/JPY tries to hold above Y77.00.

US data starts at 1230GMT with Jobless Claims, Non-farm Productivity and Unit Labor Costs data. Initial jobless claims are expected to fall 7,000 to 410,000 in the August 27 week, as the impact of the Verizon strike should be diminished. Non-farm productivity is expected to be revised down to a 0.6% decline for the second quarter based on the downward revision to growth. Unit labor costs are expected to be revised up to +2.6% as a result.
ISM Index and Construction are due at 1400GMT. Construction spending is expected to rise 0.2% in July. Housing starts fell in the month, suggesting that residential building continued its downward trend. The ISM manufacturing index is expected to fall to a reading of 48.5 in August after the sharp drop in July. The regional data already released suggest strong contraction. US data continues with the weekly EIA Natural Gas Stocks data at 1430GMT, while late data includes the 2030GMT release of M2 money supply.