The euro rose to the strongest against the dollar since December 2011, breaking with the important technical level, which was associated with an increase in risk appetite among investors. The single currency also strengthened against the background of European stocks that have reached the highest level in the last two years, as there were signs that the financial crisis in the region is weakening.

The dollar fell against most of its 16 major counterparts, as many market participants expect tomorrow's statement from the Federal Reserve, which will help to assess the direction of future policy.

Japan's currency rose against the dollar, as a report showed that confidence among U.S. consumers fell in January, more than expected, while leaving to the lowest level in more than a year. Note also that the strengthening of the yen earlier was due to the fact that many investors have stated that according to their forecasts, the couple will not fall further.

The New Zealand dollar rose for the first time in four days against the U.S. dollar after the Bureau of Statistics said that the annual trade deficit narrowed to NZ $ 1.21 billion ($ 1 billion) for the 12 months ended in December, compared with a revised deficit on at NZ $ 1,39 billion a month earlier. Note that the projected deficit economists had to make NZ $ 1,87 billion

The Canadian dollar strengthened against the U.S. dollar, after falling to a four background that the currency could not fall below a key technical level. Meanwhile, the relative strength index for the currency against the U.S. indicated that the recent drop was too big.

The pound retreated from a five-month low against the dollar after the Bank of England's representative David Miles said that economic growth in the United Kingdom to perk up this year, and will be about 2-2.5% in the next 18 months.

EUR/USD $1.3250

USD/JPY Y90.00, Y91.00, Y91.25

EUR/CHF Chf1.2400

AUD/USD $1.0395/$1.0405, $1.0450, $1.0500, $1.0600

NZD/USD $0.8395

EUR/USD

Offers $1.3550, $1.3530, $1.3510/15, $1.3495/500, $1.3470/80

Bids $1.3425/20, $1.3405/00, $1.3380/70, $1.3350

GBP/USD

Offers $1.5870/80, $1.5850/55, $1.5795/800, $1.5745

Bids $1.5675/70, $1.5650/35, $1.5610/00

AUD/USD

Offers $1.0550, $1.0540, $1.0525, $1.0500, $1.0480

Bids $1.0425/20, $1.0410/00, $1.0385/80, $1.0350, $1.0330/25, $1.0300

EUR/JPY

Offers Y123.00, Y122.80, Y122.45/50, Y121.90/95

Bids Y121.20, Y120.50, Y120.20, Y120.00

USD/JPY

Offers Y91.70, Y91.50, Y91.25/30, Y90.75/80

Bids Y90.40, Y90.30/20, Y90.10/00, Y89.80, Y89.50, Y89.20

EUR/GBP

Offers stg0.8600

Bids stg0.8540, stg0.8525/20, stg0.8500, stg0.8480, stg0.8465/60

EUR / USD strengthened by the results of the auction for the six-month debt to Italy, which resulted in the yield fell to its lowest since March 2010 value of 0.731%. But then spun around and fell to $ 1.3417.

Greece recently reported that in December PPI index fell to 1.9% y / y from 2.4% the previous result.

Italy Sold E8.5bln 6-month BOT at average yield 0.731% (0.949%), bid-to-cover 1.65 (1.57)

EUR/USD $1.3250

USD/JPY Y90.00, Y91.00, Y91.25

EUR/CHF Chf1.2400

AUD/USD $1.0395/$1.0405, $1.0450, $1.0500, $1.0600

NZD/USD $0.8395

The yen rose against most of the 16 most traded currencies, as many investors have suggested that the currency will stop its decline, which lasted for the past 11 weeks, which was the longest series of decline.

Japan's currency retreated from the minimum value against the dollar since 2010 as the technical indicators have indicated that the currency has declined too much.

The pound fell to its lowest level in more than 13 months against the euro, which was associated with the publication of data from Hometrack, which showed that house prices in England and Wales remained unchanged in December, after declining in the previous six months. Also exerted pressure on the currency earlier statement, which became known that the UK economy shrunk in the last quarter of 2012, more than expected, returned to recession.

The dollar rose against most major currencies, against the background of the fact that many market participants are waiting for the opening of a two-day meeting of the Fed, as well as a report on employment in non-agricultural sectors of the economy, which will be presented on February 1.

Note also that the support of the currency was a report presented by the Ministry of Commerce, which showed that orders for durable goods in the U.S. rose in December by 4.6% after increasing 0.7% in the previous month, although many experts forecast an increase of only 2%.

00:30 Australia National Australia Bank's Business Confidence December -9 3

The dollar weakened against most of its 16 major counterparts as investors pared bets the Federal Reserve will signal a change to its asset-buying program at the end of a two-day meeting tomorrow. A record of the U.S. central bank’s Dec. 11-12 meetings released on Jan. 3 showed officials began debating an end to its unprecedented bond-buying as early as this year.

The U.S. currency was 0.2 percent from its lowest in 11 months versus the euro before a report today forecast to show confidence among U.S. consumers declined this month. The Conference Board’s index of U.S. consumer sentiment fell to 64 from a 65.1 reading in December, according to the median forecast of economists surveyed by Bloomberg News before data due today.

In Germany, a report by GfK SE (GFK) due today may indicate a rebound in confidence about the euro area’s biggest economy. The market research company’s consumer-sentiment index will probably climb to 5.7 in February, economists polled by Bloomberg said, after it dropped to 5.6 this month, the least since December 2011.

The yen declined versus its most-traded peers as Asian stocks rose, damping demand for currencies of nations with low yields.

New Zealand’s dollar rose, snapping a three-day drop as figures showed the nation’s annual trade deficit unexpectedly narrowed.

EUR/USD: during the Asian session, the pair traded in the range of $ 1.3440-60.

GBP/USD: during the Asian session the pair was trading around $ 1.5700.

USD/JPY: during the Asian session, the pair traded in the range of Y90.40-00.

Its another light day of European data Tuesday, although there is a full calendar in he US. The main feature will be the FOMC meeting, which starts today and concludes Wednesday. In Europe, at 0710GMT, the German GfK Feb consumer confidence numbers will be released. At 1100GMT, ECB Executive Board member Peter Praet is scheduled to give a speech at the Danish Top Executive Summit, in Copenhagen. At 1800GMT, ECB Executive Board member Joerg Asmussen is to give a speech at rotary club, in Gluecksbrug (Germany). Sovereign issuance Tuesday sees only bill sales in the eurozone, with Italy set to issue a new 6-month Jul 31 BOT for E8.5bln.

(pare/closed(00:00 GMT +02:00)/change, %)

EUR/USD $1,3454 -0,04%

GBP/USD $1,5693 -0,75%

USD/CHF Chf0,9261 -0,05%

USD/JPY Y90,84 -0,09%

EUR/JPY Y122,23 -0,11%

GBP/JPY Y142,55 -0,81%

AUD/USD $1,0416 -0,07%

NZD/USD $0,8337 -0,01%

USD/CAD C$1,0059 -0,04%

00:30 Australia National Australia Bank's Business Confidence December -9

07:00 Germany Gfk Consumer Confidence Survey February 5.6 5.8

14:00 U.S. S&P/Case-Shiller Home Price Indices, y/y November +4.3% +5.6%

15:00 U.S. Consumer confidence January 65.1 64.5

21:30 U.S. API Crude Oil Inventories - +3.2

21:45 New Zealand Building Permits, m/m December -5.4% +6.0%