Asian session: The yen rose against most major peers

00:30 Australia Building Permits, m/m December +2.9% +1.1% -4.4%

00:30 Australia Building Permits, y/y December +13.2% +14.9% +9.3%

00:30 Australia ANZ Job Advertisements (MoM) January -3.8% -0.9%

The yen rose against most major peers as technical indicators signaled the pace of recent declines has been too quick. The Japanese currency’s 14-day relative strength index against the dollar was at 24 on Feb. 1, below the 30 level that some traders see as a signal an asset has fallen too far, too fast and may be due to reverse course. Against the euro, it was 22.

Gains in the yen were limited before reports predicted to show U.S. factory orders increased and European investor confidence improved, damping demand for the refuge assets. Orders to U.S. factories rose in December by the most in three months, economists projected before a Commerce Department report today. Booking rose 2.3 percent after being little changed in November, economists surveyed by Bloomberg News predict. That would follow data from last week showing payrolls in the U.S. expanded by 157,000 in January following a revised 196,000 advance in the prior month and a revised 247,000 surge in November.

Japan’s currency advanced against the greenback after completing on Feb. 1 a record 12 straight weeks of declines, triggered by speculation the Bank of Japan will boost monetary stimulus.

The euro maintained four days of gains versus the dollar before a report predicted to show investor confidence improved in the region.

Australia’s dollar rallied against its peers after a private report showed inflation advanced to the middle of the Reserve Bank of Australia’s goal, adding to the case for policy makers to hold interest rates unchanged tomorrow.

EUR/USD: during the Asian session the pair fell to $ 1.3620.

GBP/USD: during the Asian session, the pair traded in the range of $ 1.5685-10.

USD/JPY: during the Asian session, the pair traded in the range of Y92.45-85.

This week sees a light schedule of releases in the US, but Europe looks forward to meeting and decisions by both the ECB and the Bank of England. Monday sees the week get off to a fairly slow start. The first release of the day sees Spain's January unemployment report cross the wires, with the latest look at Spain's jobless numbers. At 1000GMT, the EMU Dec PPI data will be released. Back on the continent, at 1700GMT, Bundesbank board member Joachim Nagel is slated to speak on the Eurozone debt crisis, in Hamburg. At 1845GMT, the Economic and Monetary Affairs Committee of the European Parliament are due to hold a key vote on OTC derivative trading legislation.