The euro fell back to two-week low against the dollar, as the Italian prime minister, said he intends to retire, which struck the same renewed speculation that a change in government can destroy all the efforts to resolve the debt crisis. Italian Prime Minister Mario Monti will try to convince his coalition, which includes people of his predecessor, Silvio Berlusconi, to vote for the adoption of the budget law, before he retires.

Note that the popularity of Monty has been undermined after his tax increases to push Italy into an even greater recession. We also recall that on December 8 Berlusconi announced that he would participate in the election of the Prime Minister in the next year. At the same time, he expressed his dissatisfaction with the launch of the German-based program that promotes Monti.

The single currency shows a three-day decline against the yen ahead of the meeting of leaders of the European Union, to be held this week, and the purpose of which is to discuss measures to end the crisis, including increased powers to intervene in the national budgets and creating a single supervisor.

The yen strengthened against all 16 major currencies as investors sought safer assets.

The Australian dollar weakened against the yen after China reported a lower-than-expected trade surplus.

EUR / USD: during the European session, the pair fell to a new low of $ 1.2885, but then recovered and is now trading at $ 1.2917

GBP / USD: during the European session the pair fell to the low of $ 1.6013, and then rose to $ 1.6061

USD / JPY: during the European session the pair fell to Y82.10, but then rose to Y82.29

At 13:15 GMT, Canada will present a report on the number of new foundations of bookmarks for November. At 17:15 GMT BOE King make a speech. At 19:30 GMT New Zealand publish house price index from REINZ for November. At 19:30 GMT New Zealand said the change of volume of home sales from REINZ for November.