European session: The yen fell sharply

Data

01:45 China HSBC Manufacturing PMI (preliminary) January 51.5 51.9

08:00 France Manufacturing PMI (preliminary) January 44.6 44.9 42.9

08:00 France Services PMI (preliminary) January 45.2 45.6 43.6

08:30 Germany Manufacturing PMI (preliminary) January 46.0 47.1 48.8

08:30 Germany Services PMI (preliminary) January 52.0 52.0 55.3

09:00 Eurozone Manufacturing PMI (preliminary) January 46.1 46.6 47.5

09:00 Eurozone Services PMI (preliminary) January 47.8 48.1 48.3

09:00 Eurozone Current account, adjusted, bln November 8.0 4.2 14.8

09:00 Switzerland World Economic Forum Annual Meetings -

09:30 United Kingdom BBA Mortgage Approvals December 33.6 34.1 33.6

11:00 United Kingdom CBI retail sales volume balance January 19 14 17

The yen fell for the first time in four days against the dollar after the Deputy Minister of Economy of Japan Nishimura said that the currency collapse is not over, and the level of 100 yen to the U.S. dollar will not be a problem.

The yen fell by at least 0.5 percent against all 16 major currencies, as the Chinese report showed that manufacturing PMI rose in January while still achieving the highest value in the last two years, which immediately led to a fall in demand on the Japanese currency. HSBC Holdings Plc and Markit Economics said its preliminary index of purchasing managers in China increased to 51.9 in January, compared with 51.5 in the previous month. Note that the findings suggest that the growth of China's economy in early 2013 will be equal to or greater than the growth of 7.9% recorded in the fourth quarter.

Asian currencies also fell against the dollar after it was reported that North Korea may begin testing nuclear weapons.

Exchange rate euro strengthened against the dollar after the regional report showed that activity in the private sector continued to decline in January, but at a slower pace than many economists had forecast. According to the data, the composite index of production, which measures activity in the manufacturing sector and the services sector rose this month to 10-month high, reaching 48.2, compared to 47.2 in December, as well as the expectations of experts at around 47, 5. Meanwhile, the index of business activity in the services sector rose to a level of 48.3, up from 47.8 in December, while the index of business activity in the manufacturing sector rose to 47.5 from 46.1 mark.

The pound fell after the published data on the UK showed that the number of approved applications for mortgage loans remained almost unchanged in December, reaching with 33.6 thousand units, while analysts had expected growth to 34.1. Not helped the pound and retail sales data, which growth slowed slightly in January, but was still higher than expected. According to studies, which cover the first two weeks of January 2013, 41% of retailers reported an increase in sales compared to last year, while 24% reported a fall, resulting in retail sales was 17. Note that the average predicted value of this index was to drop to 10, compared to 19 in December.

EUR / USD: during the European session varies in the range of $ 1.3284-$ 1.3347

GBP / USD: during the European session is reduced, and is now trading at $ 1.5803

USD / JPY: during the European session, the pair rose to Y89.71

At 13:30 GMT the United States, there are data on the number of initial claims for unemployment insurance and the number of repeat applications for unemployment benefits in January. At 14:00 GMT Belgium presented index business sentiment for January. At 23:30 GMT Japan will publish the index of consumer prices in the country and in Tokyo in January. At 23:50 GMT Japan released minutes of the meeting of the Bank of Japan on monetary policy in January and preliminary data on industrial production in December.