European session: the euro rose

00:01 United Kingdom Rightmove House Price Index (MoM) November +3.5% -2.6%

00:01 United Kingdom Rightmove House Price Index (YoY) November +1.5% +2.0%

08:30 Eurozone ECB's Jens Weidmann Speaks -

The dollar fell against the euro, extending last week’s decline, as speculation U.S lawmakers will reach agreement on the nation’s budget and avert the so-called fiscal cliff damped demand for safety.

The Dollar Index (DXY) fell from near a 10-week high after President Barack Obama said he was “confident” that an agreement would be reached over the triggering of automatic spending cuts and tax increases at year-end that may push the economy into recession.

The yen rose from the lowest level in almost seven months versus the U.S currency. Japan’s currency dropped against all but three of its major peers after Kyodo News reported Liberal Democratic Party leader Shinzo Abe will choose someone who favors inflation targets as the next Bank of Japan governor. The BOJ will end a two-day policy meeting tomorrow.

The Australian and New Zealand dollars climbed as gains in Asian and European equities boosted demand for higher-yielding assets.