European session: the euro has grown significantly against the U.S. dollar

Data

10:00 UK BOE Mark Carney Speech

10:00 UK Member Monetary Policy Committee Charles Bean Speech

10:00 UK BoE chief economist Spencer Dale Speech

10:00 UK Member Monetary Policy Committee of the Bank of England B. Broadbent Speech

10:00 UK Hearings on inflation in Parliament III quarter

The euro exchange rate against the dollar has grown significantly , due to the expectations of the publication of reports on the United States. Note that today, the U.S. Commerce Department reports the number of permits requested in September and October. Publication of the report was postponed due to a partial stop government. Reports on housing starts in October were originally planned for publication on November 19 , while the data for September were to be known on October 17. Stop the government, which lasted from October 1 to October 16 , is not allowed to collect data . The latest report on the construction of houses showed that in August builders requested 627,000 permits for new single-family homes on an annualized basis . It was 3% higher than July and the best pace since May 2008.

Also, the market's attention today is aimed at performance member of the board of the European Central Bank's Joerg Asmussen ( at 18:00 GMT), said earlier about the possibility of reduction of deposit rates to negative levels.

Note that in the course of trade also affected by the representative of the ECB Cara Benoit , who noted that the Governing Council discussed the likelihood of negative interest rates on deposits , so this option is not excluded.

" We have made clear that this option was discussed , so that the ECB is ready to do it ," said Cair , adding that this is just another one of the tools of the Central Bank . ECB assured that he is not afraid of deflation in the euro area since the restoration of growth and expects a gradual increase in inflation to the target level of 2%.

Pound traded lower against the dollar , despite the significant growth in the first half of the session . Note that initially the strengthening of the British currency was associated with the release of the expectations of inflation. But statements by representatives of the Bank of England have put pressure on the pound , against which he has fallen sharply.

Bank of England Carney , who spoke today at the Ministry of Finance , reiterated that the decline rates b / d to 7% will not trigger an automatic increase rate securities .

He noted that "the policy prozrachnoti " this is just politics clarify the conditions under which markets the Bank of England will begin to consider the option of raising rates , which gives the players , companies and households more certainty .

" We are not going to undermine the economic recovery , tightening ahead of time, adding that it is very difficult to predict how the situation will develop with unemployment.

Nevertheless , the head of the Central Bank welcomed the recent recovery in the labor market in Britain, which , in his opinion , is a sign that the economy is gaining momentum. However, he stressed that the drawdown of the British economy should not be underestimated , as well as downside risks to the outlook for the eurozone economy , which could damage Britain.

Another topic that was discussed at the hearing , it is a request of the Ministry of Finance to the Bank of England to rethink leverage ratio for British banks. Carney found it necessary to maintain the financial sector in Britain and said that the new rules should be introduced for 9 months.

EUR / USD: during the European session, the pair rose to $ 1.3572 , but later decreased slightly

GBP / USD: during the European session, the pair rose to $ 1.6194 , but then fell to $ 1.6149

USD / JPY: during the European session, the pair fell to Y101.33

At 13:30 GMT the United States will announce the amount of building permits issued in September and October , as well as including Housing Starts in September and October. At 14:00 GMT the U.S. will release the index of home prices in 20 major cities and the S & P composite index of national housing prices S & P in September. At 15:00 GMT the United States will present indicator of consumer confidence for November. At 21:45 GMT New Zealand will report on the trade balance for October.