European session: the euro and pound declined

07:00 Germany CPI, m/m (finally) December +0.9% +0.9% +0.9%

07:00 Germany CPI, y/y (finally) December +2.1% +2.1% +2.1%

09:30 United Kingdom HICP, m/m December +0.2% +0.5% +0.5%

09:30 United Kingdom HICP, Y/Y December +2.7% +2.7% +2.7%

09:30 United Kingdom HICP ex EFAT, Y/Y December +2.6% +2.6% +2.4%

09:30 United Kingdom Retail Price Index, m/m December 0.0% +0.4% +0.5%

09:30 United Kingdom Retail prices, Y/Y December +3.0% +3.0% +3.1%

09:30 United Kingdom RPI-X, Y/Y December +2.9% +3.0% +3.0%

09:30 United Kingdom Producer Price Index - Input (MoM) December +0.1% 0.0% -0.2%

09:30 United Kingdom Producer Price Index - Input (YoY) December -0.3% +0.3% +0.3%

09:30 United Kingdom Producer Price Index - Output (MoM) December -0.2% 0.0% -0.1%

09:30 United Kingdom Producer Price Index - Output (YoY) December +2.2% +2.4% +2.2%

10:00 Eurozone Trade Balance s.a. November 7.9 8.2 11.0

10:30 United Kingdom BOE Inflation Letter January

The yen rose the most since May versus the dollar as Japan’s economy minister Akira Amari said an excessively weak currency may affect imports and households, damping speculation policy makers will try to weaken it further.

The euro fell against the dollar after the November trade surplus in the eurozone increased from € 10.2 billion to € 13.7 million vs. € 10.0 billion the same time, the Spanish auction results came out: yield 18-month bills was 1.687% ( vs. prev. 2.778%), and 12-month securities - 1.472% (vs. prev. 2.556%). Data on German GDP were quite pessimistic: index rose by 0.7% in 2012 vs. 0.8% and 3.0% in the previous period. Italian CPI rose by 2.3% in December against 2.5% the previous month and the forecast 2.4%, while on a monthly basis the index rose by 0.2% against expectations of 0.3%.

The British pound fell against the dollar after data on inflation, according to which the annual inflation rate in December was 2.7% for the third month in a row. This confirms the fears of the Bank of England at the fact that the price pressure persists despite the weak economy. Compared to the previous month consumer price index (CPI) in December rose 0.5%, which corresponds to the forecast of economists.

EUR / USD: during the European session the pair fell to a new intraday low of $ 1.3309

GBP / USD: pair lost during the European session more than 50 pips and fell in yesterday's low of $ 1.6031.

USD / JPY: during the European session the pair fell to a new intraday low of Y88.28

At 13:30 GMT the U.S. will change the volume of retail trade, including excluding sales of cars and fuel, the producer price index, including excluding prices for food and energy in December, Empire Manufacturing production index for January, at 15:00 GMT - the change in stocks in commercial warehouses for November, at 21:30 GMT - the change in stocks syuroy oil, according to API. At 23:30 GMT Australia is to publish an index of consumer confidence from Westpac in January. Finish the day at 23:50 GMT Japan data on the change in orders for machinery and equipment in November.