Asian session: The dollar rose to a more than one-week high versus the euro

00:00 China Bank holiday

01:30 Australia Trade Balance February -0.67 1.12 -0.48

The dollar rose to a more than one-week high versus the euro as signs of improving U.S. employment support the Federal Reserve’s decision to hold off from increasing monetary accommodation. The U.S. currency rose against 14 of its 16 major peers ahead of a private report forecast to show gains in employment in March held near the most in two months. Figures based on payrolls from ADP Employer Services due to be published today may show U.S. employment increased by 206,000 last month, according to the median estimate of economists surveyed by Bloomberg News. That compares with a gain of 216,000 in February, the biggest in two months.

The euro fell versus the dollar and yen before ECB policy makers gather for an interest-rate decision today. Officials are expected to keep the bank’s key rate unchanged at 1 percent, according to all 57 forecasters polled before the meeting. Retail sales in the euro-area probably dropped 0.2 percent in February after a 0.3 percent gain the previous month, according to the median estimate in a separate survey.

Australia’s dollar sank to an 11-week low as data showed the nation had a trade deficit for a second-straight month. Australia unexpectedly posted a trade deficit for a second month in February, completing the first consecutive shortfalls in two years. Imports outpaced exports by A$480 million ($493 million), from a revised A$971 million deficit in January, the Bureau of Statistics said in Sydney today. The median estimate in a Bloomberg survey was for a surplus of A$1.1 billion.

EUR/USD: during the Asian session the pair fell below $1.3200.

GBP/USD: during the Asian session the pair fell below $1.5900.

USD/JPY: during the Asian session the pair decreased, after yesterday's growth.

Wednesday morning sees the release of the final services PMI data from the main European states, including France at 0748GMT, Germany at 0753GMT and the main EMU data shortly after, at 0758GMT. EMU data continues at 0900GMT with retail trade for February, which is followed at 1000GMT by German manufacturing orders data. The ECB is due to announce it's monetary policy decision at 1145GMT. The usual press conference follows at 1230GMT. UK data at 0700GMT the UK Halifax house price index is due, while at 0830GMT UK data also includes the Markit/CIPS Services PMI for March as well as Building Materials and Narrow Money data along with Official Reserves. US data starts at 1100GMT with the weekly MBA mortgage applications data. At 1200GMT, Treasury Secretary Tim Geithner speaks to the Economic Club of Chicago, while at 1215GMT, the ADP National Employment Report is due. US data continues at 1400GMT when the ISM non-manufacturing index is forecast to fall to a reading of 57.0 in March after rising in the previous month. The weekly EIA crude oil stocks data is also due, at 1430GMT. At 1500GMT, San Francisco Fed President John Williams speaks to a San Francisco Planning and Urban Research business breakfast.