00:00 New Zealand ANZ Business Confidence December 60.5 64.1

01:30 China Property Prices, y/y November +9.6% +9.9%

The yen dropped versus its 16 major peers after data showed the nation reported its biggest trade deficit on record, eroding the nation’s haven appeal. Japan’s merchandise trade deficit for November was 1.35 trillion yen ($13.1 billion) on a seasonally-adjusted basis, compared with the 1.2 trillion yen median estimate in a Bloomberg News survey. Imports climbed 21.1 percent from a year earlier while exports rose 18.4 percent, the finance ministry said.

The Bloomberg Dollar Index was little changed for a second day at 1,016.15 before the Fed decision. There’s about a 60 percent chance the Fed will announce a reduction in its $85 billion monthly asset-purchase program today, according to Mohamed El-Erian, chief executive officer of Pacific Investment Management Co. “The market is going to be reacting to the package and not just one element, which is the taper,” said El-Erian.

Australia’s dollar rose from near a four-month low after Reserve Bank Governor Glenn Stevens said that low borrowing costs are supporting higher spending in the economy. The RBA governor said the board has maintained an “open mind” on whether it needs to cut interest rates further as it sees signs low borrowing costs are supporting spending. He reiterated that balanced growth would probably require a lower exchange rate.

EUR / USD: during the Asian session, the pair traded in the range of $ 1.3760-75

GBP / USD: during the Asian session, the pair rose to $ 1.6290

USD / JPY: on Asian session the pair traded rose to Y103.05

Germany Ifo data due at 0900GMT to provide the morning's focus though the mentioned FOMC  ater will overshadow.