European session: the pound jumped against the dollar

The yen dropped to its weakest level in four months against the dollar as investors speculated that the Bank of Japan will expand monetary stimulus next week. Japan’s currency gained for the first time in three days versus the euro after the Nikkei newspaper reported the BOJ will consider increasing its asset-purchase program.

The pound jumped against the dollar as Britain emerged from its recession more strongly than economists predicted. U.K. gross domestic product rose 1 percent from the three months through June, the fastest expansion in five years, the Office for National Statistics said in London today. That exceeded the highest estimate for growth of 0.8 percent.

Euro retreated from session highs against the background of weak economic statistics. In the eurozone, the volume of consumer credit continued to fall in September, reflecting a decline of 0.8% y / y vs. -0.6% in August. The growth rate of the M3 monetary aggregate in the region slowed to 3.0% 3m/3m and 2.7% y / y from 3.1% / 2.8% in the previous period. The market expects the index data of German consumer confidence from the GfK, performance indicator of consumer confidence in France, which will be released tomorrow.

The New Zealand dollar rose against the U.S. dollar to two-week highs after the Reserve Bank of New Zealand decided to keep the base interest rate at 2.5%. The new president of the bank in a statement Grime Wheeler noted that the global economy is still weak and although the market outlook earlier this year has already begun to improve, the future of the world economy is still not optimistic. According to him, the annual inflation rate in New Zealand was 0.8 percent, down 3.1 percentage corridor allowed by the Central Bank. However, the president predicted that this figure could go up to the middle of the expected gap. "The central bank will closely watch for changes in the coming months," - said Grime Wheeler.

Limited demand for the dollar after the Federal Reserve yesterday said it plans to buy more securities in the third round of quantitative easing, which lead to a depreciation of the U.S. currency. In a statement, the Fed noted modest growth in the U.S. economy and the continuing high level of unemployment in the country.

EUR / USD: during the European session, the pair rose to $ 1.3023, and then fell to $ 1.2985

GBP / USD: during the European session, the pair rose to a new high of $ 1.6143

USD / JPY: during the European session, the pair rose to a new high of Y80.21

Continue day block statistics U.S. at 12:30 GMT - the change in orders for durable goods, including excluding transportation equipment in September, the number of initial claims for unemployment insurance, the number of repeated applications for unemployment benefits, at 14:00 - volume change pending home sales for September. At 21:45 GMT New Zealand will release the trade balance (for 12 months, from the beginning of the year), trade balance for September. At 23:30 GMT Japan's consumer price index will be released in Tokyo, including excluding prices for fresh food, excluding prices for food and energy in October, the consumer price index, including excluding prices for fresh food, excluding prices for food and energy in September.