European session: The Japanese yen continued to decline against the U.S. dollar

Data:

10:00 EU Council meeting of European finance ministers

10:00 Eurozone Consumer Price Index m / m in October +0.5% -0.1% -0.1%

10:00 Eurozone CPI Y / Y (final) October +0.7% +0.7% +0.7%

10:00 Eurozone Consumer Price Index, the base value, y / y in October +0.8% +0.8% +0.8%

The euro exchange rate rose slightly against the dollar, while retreating from session lows . Note that this is related to the dynamics of trading data output for the euro area , as well as the expectations of the publication of reports by the United States.

Final data that have been published by Statistics EU agency , showed that the annual rate of inflation among the 28 member countries of the European Union fell to its lowest level in four years in October . This situation adds to fears that the unit may be in an even more precarious position from a long period of falling prices . According to the report , consumer prices in the EU rose by 0.9 % in the 12 months ( to October) , which was significantly lower than the figure at 1.3 % , recorded in September. Note that the increase in consumer prices was the lowest since October 2009 .

Meanwhile, data showed that the annual rate of inflation in the 17 countries of the euro zone was 0.7 % in October , the lowest level since November 2009 . Recall that the preliminary inflation data released on October 31 , caused a rapid response from the European Central Bank, which cut its benchmark interest rate to a record low of 0.25 % last week .

U.S. data will probably show that industrial production rose in October, but at a slower pace than in September , reflecting a pause in production during the 16-day partial closure of the federal government. According to experts , the volume of industrial production increased by 0.2 percent last month after increasing 0.6 percent in September.

In addition, we add that manufacturing activity in New York , estimated in November grew at a faster rate after slowing for three consecutive months. The index of manufacturing activity in New York is likely to grow to 5.2 from 1.52 in October ( the five-month minimum).

The yen continued to fall against the dollar , as markets continued to show a craving for risk after yesterday's speech Janet Yellen to the Senate Banking Committee . Recall that Yellen is a candidate to head the Federal Reserve after the end of the term of office Bernanke. During his speech , she said that tends to create a strong economic recovery and provide monetary stimulus that will not stop anytime soon.

"I think it is necessary to do everything possible to promote a very strong recovery. It is important not to abandon support, especially when the recovery is fragile, and the tools available to monetary policy during disruptions in the economy is limited, given that short-term interest rates are at zero . "

Yellen also said that the benefits of the program of bond purchases is still outweigh the costs. Calling for greater regulation in order to help protect the financial system , she said that she would like to see more progress in reducing unemployment, which currently stands at 7.3 percent . The politician added that he saw no signs of proliferation of bubbles in the stock market or property.

Yellen said that the program of asset purchases by the central bank helped make a significant contribution to economic growth and improved prospects , and that the program will not continue indefinitely . Yellen said that the Fed's key interest rate will remain low even after the policy start to cut back on the purchase of bonds.

EUR / USD: during the European session, the pair is trading in a narrow range - $ 1.3462 -$ 1.3432

GBP / USD: during the European session, the pair has set high at $ 1.6090 and then pulled back to the lows , but then recovered to $ 1.6071

USD / JPY: during the European session, the pair rose to Y100.43

At 13:30 GMT Canada will announce the change of volume of manufacturing sales in September. Also this time, the U.S. will release the Empire Manufacturing production index for November and the import price index for October. At 14:15 GMT the United States will present the capacity utilization rate and announce the change in the volume of industrial production in October. At 15:00 GMT the United States will announce the percentage of late payments on the mortgage for the 3rd quarter .