The euro exchange rate rose slightly against the dollar, recovering with a minimum values ​​of the session. Note that the dynamics of trade affected information that the incumbent President of Italy Giorgio Napolitano was re-elected for a second term. 87-year-old Napolitano agreed to once again participate in the elections, after parliament failed to elect the fifth attempt of his successor. On the eve of the Italian center-left leader Pier Luigi Bersani said he would step down as chairman of the Democratic Party, unless the parliament will elect a new president. Bersani, previously regarded as the most likely candidate for the post of prime minister, said the refusal of the leadership in the party, after the parliament did not support his proposed two candidates for the presidency. Also presented today by the National Association of Realtors report showed that purchases in the secondary market fell last month by 0.6% to 4.92 million for the year. The median forecast of economists projected sales would increase to 5.00 million Estimates ranged from 4.9 million to 5.2 million homes on the market prices rose, reflecting the growing demand for more expensive homes. The pace of previous months have been revised to 4.95 million from a previously reported 4.98 million purchase in the secondary market to gradually rise from a 13-year low of 4.11, which was achieved in 2008. The largest volume reached 7.08 in 2005. The average price of homes sold in the secondary market increased by 11.8 percent, the highest since November 2005, to $ 184,300 last month from $ 164,800 in March 2012.

Value of the pound rose against the dollar after amplification of risk aversion on weak report on the U.S. housing market. Note that the GBP / USD managed to recover and even reach new daily highs. Recall that the international rating agency Fitch Ratings downgraded the sovereign rating by one notch the UK - with the highest possible "AAA" to "AA +". The rating outlook - "stable," the agency said. Two months ago, a similar rating action taken agency Moody's Investors Service, the credit rating worsening the UK to "Aa1".

The yen rose against the dollar, and once again failed to take the mark Y100.00, despite the fact that the G20 has given Japan the green light on the issue of monetary policy easing, believing Aso and Kuroda, that it is aimed at fighting deflation. Note also that in fact, a weak report on the U.S. housing market has helped to reduce the mood and the USD / JPY briefly fell below 99.00. However, the pair was able to recover, and now is consolidating above 99.00. We also add that the short-term indicators for the pair USD / JPY were negative, but in a broader perspective, the positive tone prevails. However, the daily charts are moving away from overbought levels. The pair may have to wait before it attains sufficient strength to break 100.00.

The combined budget deficit of the euro area fell to 3.7 percent of gross domestic product from 4.2 percent in 2011, Eurostat said Monday.

However, government debt increased to 90.6 percent of GDP from 87.3 percent in the prior year.

The European Commission estimated the deficit to narrow to 3.5 percent of GDP in 2012 and then to fall to 2.8 percent in 2013.

The lowest government deficit in percentage of GDP was registered by Estonia, followed by Sweden, Bulgaria and Luxembourg. Meanwhile, Germany posted a government surplus of 0.2 percent.

Despite widespread austerity measures, Spain's budget deficit widened to 10.6 percent of GDP in 2012 from 9.4 percent. The 2012 shortfall was bigger than the EU estimate of 10.2 percent.

The French budget deficit came in at 4.8 percent of economic output, down from 5.3 percent in 2011, but exceeded its official target of 4.5 percent.

Existing home sales in the U.S. unexpectedly decreased in the month of March, according to a report released Monday by the National Association of Realtors, which attributed the drop in sales to inventory constraints.

NAR said existing home sales fell 0.6 percent to an annual rate of 4.92 million in March after inching up by 0.2 percent to a downwardly revised 4.95 million in February.

The drop surprised economists, who had expected existing home sales to edge up to 5.03 million from the 4.98 million originally reported for the previous month.

EUR/USD $1.2975, $1.3000, $1.3095, $1.3100, $1.3110, $1.3120, $1.3150

USD/JPY Y98.50, Y98.55, Y99.25, Y99.50, Y100.00(large), Y100.50

EUR/JPY Y128.00, Y129.00, Y130.00

GBP/USD $1.5300

EUR/GBP stg0.8525

AUD/USD $1.0205, $1.0350, $1.0400, $1.0410

AUD/JPY Y102.20

NZD/USD $0.8400

AUD/NZD NZ$1.2150

USD/CAD C$1.0175, C$1.0230

The yen continues to trade in the region of 100 yen to the dollar after the representatives of the G20 did not criticize the actions over the soft monetary policy of the Bank of Japan. Moreover, the head of the Central Bank Haruhiko Kuroda has already hinted about expanding the monetary stimulus at the second meeting under his leadership, which will take place this week.

Euro fell back from progress made at the beginning of the session maksimov against the U.S. dollar after the current president of Italy, Giorgio Napolitano, was re-elected for a second term. 87-year-old Napolitano agreed to once again participate in the elections, after parliament failed to elect the fifth attempt of his successor. On the eve of the Italian center-left leader Pier Luigi Bersani said he would step down as chairman of the Democratic Party, unless the parliament will elect a new president. Bersani, previously regarded as the most likely candidate for the post of prime minister, said the refusal of the leadership in the party, after the parliament did not support his proposed two candidates for the presidency.

The pound was trading without a definite trend. Recall that the international rating agency Fitch Ratings downgraded the sovereign rating by one notch the UK - with the highest possible "AAA" to "AA +". The rating outlook - "stable," the agency said. Two months ago, a similar rating action taken agency Moody's Investors Service, the credit rating worsening the UK to "Aa1".

EUR / USD: during the European session, the pair fell to $ 1.3036

GBP / USD: during the European session, the pair rose to $ 1.5246

USD / JPY: during the European session, the pair retreated to Y99.66

At 12:30 GMT the U.S. will report on the index of economic activity from the Chicago Fed in March. At 14:00 GMT Eurozone will publish an indicator of consumer confidence for April. At 14:00 GMT the United States will sales in the secondary market in March.

EUR/USD

Offers $1.3195/200, $1.3170/80, $1.3150/55, $1.3130, $1.3100, $1.3075/85

Bids $1.3050, $1.3030/20, $1.3010/00, $1.2990, $1.2970, $1.2950/40

GBP/USD

Offers $1.5330, $1.5300/10, $1.5280/85, $1.5255/65

Bids $1.5200, $1.5275/70, $1.5255/50, $1.5200

AUD/USD

Offers $1.0380, $1.0345/50, $1.0320, $1.0300/10, $1.0280/85

Bids $1.0250, $1.0240/30, $1.0220, $1.0200, $1.0185/80, $1.0155/50, $1.0120/15

EUR/GBP

Offers stg0.8630/40, stg0.8610/15, stg0.8600, stg0.8580/85

Bids stg0.8500, stg0.8485/80, stg0.8460/50

EUR/JPY

Offers Y131.50, Y131.00, Y130.65/70

Bids Y129.75/70, Y129.55/50, Y129.25/20, Y129.00, Y128.80

USD/JPY

Offers Y100.40/45, Y100.25, Y100.15/20, Y100.00

Bids Y99.50, Y99.20, Y99.00, Y98.55/50

EUR/USD $1.2975, $1.3000, $1.3095, $1.3100, $1.3110, $1.3120, $1.3150 USD/JPY Y98.50, Y98.55, Y99.25, Y99.50, Y100.00(large), Y100.50 EUR/JPY Y128.00, Y129.00, Y130.00 GBP/USD $1.5300 EUR/GBP stg0.8525 AUD/USD $1.0205, $1.0350, $1.0400, $1.0410 AUD/JPY Y102.20 NZD/USD $0.8400 AUD/NZD NZ$1.2150 USD/CAD C$1.0175, C$1.0230

The yen weakened, nearing the 100 per dollar level not seen since 2009, after the Bank of Japan’s monetary stimulus policies were unopposed by the Group of 20.

Japan’s currency slid against most major peers after BOJ Governor Haruhiko Kuroda, who oversees his second policy meeting this week, said he was emboldened to press ahead with a campaign to defeat deflation.

The euro rose versus the greenback before Giorgio Napolitano is sworn in to a second term as Italian president. In Italy, Napolitano could begin consultations on a new government as soon as tomorrow. The resignation of Democratic Party leader Pier Luigi Bersani increases the chances Napolitano can convince the remnants of Bersani’s Democrats to join a coalition with Silvio Berlusconi’s People of Liberty party and end a stalemate that’s left Italy without a new government eight weeks after elections.

The Australian and New Zealand dollars rallied along with Asian stocks.

EUR / USD: yesterday the pair rose to $ 1.3085

GBP / USD: yesterday the pair rose to $ 1.5245.

USD / JPY: during the Asian session, the pair rose to Y99.90.

Although only limited data is expected Monday, there is still a full list of speaking events scheduled for Monday. The session licks off with the release of the eurozone 2012 1st release of general Govt deficit and debt data. The Bundesbank monthly report is due at 10GMT and is followed by a speech from ECB Executive Board member Benoit Coeure, speaking on the new euro banknotes, in Vienna. At 1315GMT, Norges Bank Governor Oystein Olsen is slated to give a lecture in Bergen, Norway. EU Vice President Olli Rehn will give a speech to the Paris Europlace forum in New York. At 1500GMT, French Finance Minister Pierre Moscovici will speak at the Europlace conference, in New York. France Bank of France Gov. Christian Noyer speaks at the forum in New York from 1700GMT.

12:30 U.S. Chicago Federal National Activity Index March 0.44

12:30 U.S. FOMC Member Dudley Speak

14:00 Eurozone Consumer Confidence April -23.5 -24.0

14:00 U.S. Existing Home Sales March 4.98 5.02

18:30 United Kingdom MPC Member Tucker Speaks