European session: the dollar rose slightly against the euro

Data

01:30 Australia RBA Monetary Policy Statement Quarter III

01:30 China PPI y/y July -2.7% -2.0% -2.3%

01:30 China CPI y/y July +2.7% +2.8% +2.7%

05:00 Japan BoJ monthly economic report August

05:00 Japan Consumer Confidence July 44.3 45.3 43.6

05:30 China Retail Sales y/y July +13.3% +13.5% +13.2%

05:30 China Fixed Asset Investment July +20.1% +20.0% +20.1%

05:30 China Industrial Production y/y July +8.9% +9.0% +9.7%

06:45 France Industrial Production, m/m June -0.4% +0.3% -1.4%

06:45 France Industrial Production, y/y June +0.4% +1.5% -0.2%

08:00 China New Loans July 861 635 700

08:30 United Kingdom Trade in goods June -8.5 -8.5 -8.1

The euro exchange rate fell slightly against the dollar, but is still held near a seven-week high. Note that the dynamics of the partially influenced by expectations of the publication of data for economic growth in the Euro-region for the second quarter. The indicator will be published next week. The median estimate of economists, GDP growth should reach 0.2%, whereas in the previous six quarters were only negative.

We also add that not a lot of pressure Eurocurrency have data from France, which showed that industrial production in the second largest economy of the euro zone in June fell by 1.4% compared with May. Economists had expected a rise of 0.1% in June. In manufacturing, a decline of 0.4%. In May the total industrial production decreased by 0.3%. Published negative data contrast with the optimism of the Government in recent years regarding the strengthening of the economy after the recession at the beginning of this year. French President Francois Hollande said in a television interview in July, the beginning of recovery, and government ministers have repeatedly said that they expect the economy to return to growth in the 2nd quarter. However, industrial production in the 2nd quarter increased by 1.4% compared to the 1st quarter and by 0.2% compared with the 2nd quarter of 2012.

The pound fell slightly against the dollar, retreating from earlier highs. Note that initially helped the growth of currency positive trade balance data, but since this indicator was not rated highly the interest of market participants began to gradually fade away, and that provoked a slight depreciation of the currency.

Recall that the submitted report showed that by the end of June month trade deficit Britain fell to a level of 8.1 billion pounds, compared with the upwardly revised figure for May in the amount of 8.7 billion pounds. We add that according to the average estimate of economists figure was to make -8.5 billion, which would be unchanged compared with the value for May, which was originally reported.

The Office for National Statistics reported that the June decline of 0.6 billion pounds was within normal monthly changes.

In addition, the data showed that the visible trade deficit was partially offset by a surplus in services at the level of 6.500 billion pounds. As a result, the overall trade deficit fell in June to 1.5 billion from 2.6 billion pounds in the previous month.

It should also be noted that the volume of exports of goods rose in June by 1.3 billion pounds, while reaching a record 26.9 billion pounds, while imports increased by 0.700 billion pounds - to the level of 35 billion pounds.

The Australian dollar rose sharply against major currencies, which, first of all, have helped the data presented by China.

The National Bureau of Statistics reported that by the end of last month consumer price inflation in China has remained unchanged, while producer prices fell more than expected, thus fixing the seventeenth consecutive monthly decline. According to experts, the data give the central bank more room to ease monetary policy in the backdrop of sluggish growth.

According to the report, the rise in consumer prices in the month of July was at 2.7 percent, remaining unchanged compared to June, which was fixed four-month high. It is worth noting that the last result was slightly lower than expected inflation - at around 2.8 percent. In addition, we add that consumer price inflation was much lower than the government target at around 3.5 percent.

Meanwhile, it was reported that producer prices continued their decline, underscoring the weakness of domestic demand. The report showed producer prices fell last month by 2.3 percent year on year, which was followed, after falling 2.7 percent in June. Add that many experts forecast a drop of 2.0 percent.

EUR / USD: during the European session, the pair fell to $ 1.3364

GBP / USD: during the European session, the pair dropped to $ 1.5516

USD / JPY: during the European session, the pair fell to Y96.37

At 12:15 GMT Canada will announce the number of Housing Starts in July, and the unemployment rate and the change in the number of employed in July.