The euro advanced against the dollar ahead of German business climate data by IFO. Economists expect the index to come in at 107.2 in July. The index is based on results of survey of 7000 business executives. A reading above 100 suggests that economic growth improves amid business optimism.

The yen rose against the dollar amid declines in Asian stocks and growing demand for this safe-haven currency. Investors are waiting for the Federal Reserve meeting and U.S. GDP data.

A two-day Federal Open Markets Committee meeting starts tomorrow. The central bank of the U.S. may provide more information on its intension regarding the future of interest rates. The Fed signaled that it may raise rates in September, but investors are convinced that the Fed will take this step in December. Higher rates in the U.S. would make the greenback more attractive for investors.

EUR/USD: the pair rose to $1.1015 in Asian trade

USD/JPY: the pair fell to Y123.40

GBP/USD: the pair traded around $1.5515-35

The most important news that are expected (GMT0):

(time / country / index / period / previous value / forecast)

08:00 Eurozone Private Loans, Y/Y June 0.5% 0.6%

08:00 Eurozone M3 money supply, adjusted y/y June 5.0% 5.2%

08:00 Germany IFO - Business Climate July 107.4 107.2

08:00 Germany IFO - Current Assessment July 113.1 113

08:00 Germany IFO - Expectations July 102.0 101.8

10:00 United Kingdom CBI industrial order books balance July -7

12:30 U.S. Durable goods orders ex defense -2.1%

12:30 U.S. Durable Goods Orders June -1.8% 3%

12:30 U.S. Durable Goods Orders ex Transportation June 0.5% 0.5%