The dollar was again under a wave of sales and recorded losses on the day against all the majors.

The dollar was again under a wave of sales and recorded losses on the day against all the majors. Clearly, the optimistic mood last week spilled over into the current session and resulted in continued high level of the risk appetite on the first day of trading. However, not only contributed to the stability of optimism in the market, good data on the European economy, particularly from the euro zone, adding arguments assume a stable economic recovery and increased hopes for a positive outlook. In addition, the possible decrease in the popularity of "bucks" helped the statements of President Fed - St Louis D. Bullard, who said of the recent recovery of the U.S. economy continues to be insufficient to raise a key interest rate. By the end of the day "green" back of the positions lost during trading Monday, it happened after it became known on the next downgrade of Greece and the sharp decline in the negative zone of the stock market States that most of the bidding is sure rose. News on the U.S. economy were published, but now the package will celebrate a number of significant data, this index of business activity report by the FBI in New York in June - the forecast assumes the growth rate to 20.1 from 19.1, net purchases of U.S. securities by foreign investors (TIC) for April , is expected to decline to 77.0 billion after the 140.4 billion dollars previously and the index of house prices from NAHB again in June, the rate is projected at the same level, 22.0. Little support or pressure on the dollar of this information is, the market will continue to focus on the political component here, as it seems, is beginning to appear slight decrease in optimism, which leads to slow decline of the dollar, ie, high probability of transition to a range of trade with the risk of return to the high level of popularity of U.S. currency.

EUR

Adding to the general optimism in the form of good data on industrial production in the euro area in April, prompted a pair of EUR / USD up and provided a positive outcome for the euro trading on Monday. Some disappointment among investors caused the message of rating agency Moody's lowered the rating on Greek government debt to "junk" level of Ba1. Nevertheless, market reaction has been restrained and sell the euro were limited. Obviously, this was due to the fact that the forecast for a new rating of Greece was celebrated as a stable and therefore probably will not change over the next 12-18 months. As already mentioned, statistics on the economy published yesterday, possessed for high spirits - Industrial production in the euro zone rose in April, with the most significant growth - the reported figure showed rise by 0.8% compared with March and by 9.5% compared to the same period last year. Forecasts waited less impressive picture - only +0.5% m / m and +8.7% y / y. In addition, revised March figure for the better, up +1.5% m / m and +7.7% y / y from +1.3% m / m and +6.9% y / y previously announced. But here it is worth noting that growth has the largest EU economies - Germany, Italy, at a time when industrial production in Greece, Portugal and Spain in April declined. News, who will present today, will be associated with the report of the German institute ZEW. Perhaps the figure note that the business expectations fell in June, as pressure of sovereign debt crisis continues and the plans of European governments, including Germany, are aimed at reducing costs in order to prevent the growth of budget deficits. In addition, publish the results of the Eurozone trade balance for April, is expected to increase to 1.7 billion surplus from 0.6 billion euros. The growth of the single currency looks quite interesting and may even continue in the short version. However, this rise in the euro did not inspire confidence in the future, because sovereign debt will continue to be the subject of concern, and a source of good humor - Strong data from China soon will come to no. As is well known in the "Celestial Empire" concerned over the possible overheating of the economy and intend to continue tightening its monetary policy.

GBP

The British pound against the dollar resumed its growth, and on Monday more than 150 points "profit". The increase in interest in Sterling contributed to political factors, overlapping the optimism of last week. These factors include the statement by the Bank of England Sentance that fears of inflation may put an extra soft monetary policy under question, as well as reports of new Office of Fiscal Responsibility, according to whom were lowered forecasts for net borrowing of the Government for the year ending in March 2011. This recently formed the new Government Office for Fiscal Responsibility has lowered the forecast for net borrowing of about 23 billion pounds, as well as forecasts for economic growth in 2011. However, the impression on the market made it forecasts for reducing loans, because give hope to consolidate the budget. Published as a quarterly bulletin of the Bank of England noted that business investment decreased significantly, but the main conclusions of the paper is that of the stability of inflation, that would also be able to support sterling. Incidentally, the clarification on the issue of inflation, its prospects and possible actions BoE, in this light, can be obtained today, when will publish a report on inflation and the economy, the Bank of England. Beyond that, planned output of data on consumer inflation - the Consumer Price Index (CPI) is expected to slowdown in May, 0.4% m / m, 3.5% y / y, after a 0.6% m / m, 3.7% y / y in April . Stem exact same indicator may show a lower level, as well as the retail price index, where the waiting 0.3% m / m, 5.0% y / y, after a 1.0% m / m, 5.3% y / y. Presented today a balance in home prices from RICS showed strong growth up to 22% from 17%. Negative for the pound today is not expected, and continued growth is possible, unless of course, a report on inflation will not contain unequivocal statements on the refusal of tightening monetary policy. At the same time, the problems facing the new government rather complicated and therefore an increase in "cable" is not likely to be prolonged.

JPY

Based on the results demonstrated a couple of USD / JPY at auction on Monday, we can conclude that a high proportion of uncertainty that has taken root among investors. Under pressure the first part of trading Monday, the yen, against a background of strengthening risky assets, showed a sharp turn to the building at the end of the day, when they started to fall in the U.S. stock exchanges. This once again confirms the dependence of the positions of the Japanese currency on the level of the risk appetite and a very small effect on its economic performance. At the same time, the publication of the Japanese economy showed that the sentiment of large Japanese manufacturers have improved significantly over the past three months and business conditions are evaluated entrepreneurs much more confident. Presented on Monday, a government report showed that the level of manufacturing activity rose to 10 points in the final quarter, when the previously recorded 4.3. Perhaps this is due to the fact that all governments take measures to stimulate their economies, improving international trade and increasing interest in the goods of Japanese manufacturers. Today it was submitted for decision of the Bank of Japan key interest rate tool on the same level and is 0.10%. This news is of course no effect on the market will not, will focus on the press conference, Bank of Japan, because may receive information about the prospects of the policy in light of the strategy of the new government.