The euro reached 2.5 -year high against the dollar and retreated under a thin market and low trading volume , which contribute to significant fluctuations . Today the economic calendar contains European and American data. Influenced the course of trading statement by a member of the Governing Board of the European Central Bank , Jens Weidmann , who said that the ECB should raise rates if inflationary risks in the euro area will increase. He noted that the persistence of low rates for an extended period may have a negative impact on policy reforms in the economies of the euro zone , adding that weak inflationary pressures do not give right to any easing of monetary policy . " We must take care to raise interest rates again . Euro area only gradually recovering from the worst economic crisis in the postwar period , and pricing risks are negligible. This justifies the low base rates ," he said .

The yen fell against the dollar , reaching at this level Y105 to the dollar for the first time since October 2008 , amid rumors that the recent rally was excessive , and the technical indicators signal an overbought against the yen . Also, add that market participants put on divergence rates of the Federal Reserve System, which has moved to reduce the incentives , and the Bank of Japan announced its readiness to expand if necessary unprecedented program to support the economy . Recall that at its last meeting, the Fed decided to cut the current program to stimulate the economy with $ 85 billion to $ 75 billion in the meantime, the Bank of Japan monthly buys government bonds worth more than 7 trillion yen ( $ 67 billion ) in an attempt to put an end to 15 years of deflation.

Also falling yen was associated with the release of inflation data in Japan. In November figure exceeded 1% for the first time since 2008 that a marked progress in the policy of Prime Minister Shinzo Abe , unreduced to overcome 15 years of falling prices in the third largest economy in the world. Prices excluding fresh food rose by 1.2 % compared with a year earlier. Figure exceeded the median forecast of economists, who expect prices to rise by 1.1%.

Pound earlier rose to its highest level in more than two years against the dollar on increasing confidence about the recovery of the UK economy , which is caused by the revival of the housing market.

According to the average forecasts of experts , the British housing prices , which are calculated Nationwide Building Society, rose 0.7 percent in December , compared with an increase of 0.6 percent last month . Add that this report will be presented next week .

"We expect that the economic recovery in the UK will continue at a solid pace in the next year , which will support capital investments and improving domestic demand," said Geoffrey Yu, senior currency strategist at UBS AG. " This should support the pound ."

Moreover, economists expect that the UK economy will grow by 2.4 percent next year , that will be the strongest pace since 2007 , compared with 1.4 percent expansion , which is projected for this year.

USD/JPY Y103.00, Y103.50, Y103.80, Y104.50, Y105.00

EUR/USD $1.3570, $1.3600, $1.3650

AUD/USD $0.8900, $0.9105, $0.9150

EUR/GBP stg0.8480

USD/CAD Cad1.0605, Cad1.0700

Data

1:30 Japan Changes in the level of wages, y / y in November +0.1% +0.4% +0.5%

The euro rose to the highest level since October 2011 in relation to the dollar as a thin market and low trading volumes contribute to significant fluctuations . In addition, the course of trade affected statement by a member of the Governing Council of the European Central Bank , Jens Weidmann , who said that the ECB should raise rates if inflationary risks in the euro area will increase. He noted that the persistence of low rates for an extended period may have a negative impact on policy reforms in the economies of the euro zone , adding that weak inflationary pressures do not give right to any easing of monetary policy . " We must take care to raise interest rates again . Euro area only gradually recovering from the worst economic crisis in the postwar period , and pricing risks are negligible. This justifies the low base rates ," he said .

The yen fell against the dollar , reaching at this level Y105 to the dollar for the first time since October 2008 , amid rumors that the recent rally was excessive , and the technical indicators signal an overbought against the yen . Also, add that market participants put on divergence rates of the Federal Reserve System, which has moved to reduce the incentives , and the Bank of Japan announced its readiness to expand if necessary unprecedented program to support the economy . Recall that at its last meeting, the Fed decided to cut the current program to stimulate the economy with $ 85 billion to $ 75 billion in the meantime, the Bank of Japan monthly buys government bonds worth more than 7 trillion yen ( $ 67 billion ) in an attempt to put an end to 15 years of deflation.

Also falling yen was associated with the release of inflation data in Japan. In November figure exceeded 1% for the first time since 2008 that a marked progress in the policy of Prime Minister Shinzo Abe , unreduced to overcome 15 years of falling prices in the third largest economy in the world. Prices excluding fresh food rose by 1.2 % compared with a year earlier. Figure exceeded the median forecast of economists, who expect prices to rise by 1.1%.

Pound rose to its highest level in more than two years against the dollar on increasing confidence about the recovery of the UK economy , which is caused by the revival of the housing market.

According to the average forecasts of experts , the British housing prices , which are calculated Nationwide Building Society, rose 0.7 percent in December , compared with an increase of 0.6 percent last month . Add that this report will be presented next week .

"We expect that the economic recovery in the UK will continue at a solid pace in the next year , which will support capital investments and improving domestic demand," said Geoffrey Yu, senior currency strategist at UBS AG. " This should support the pound ."

Moreover, economists expect that the UK economy will grow by 2.4 percent next year , that will be the strongest pace since 2007 , compared with 1.4 percent expansion , which is projected for this year.

EUR / USD: during the European session, the pair rose to $ 1.3824 , but then fell to $ 1.3805

GBP / USD: during the European session, the pair rose to $ 1.6577 , then back up to $ 1.6500

USD / JPY: during the European session, the pair fell to Y104.64, but recovered to a maximum session

EUR/USD

Offers $1.3900, $1.3870/80, $1.3855, $1.3850, $1.3820

Bids $1.3760/50, $1.3735/30, $1.3700, $1.3650

AUD/USD

Offers $0.9020, $0.9000, $0.8985/90, $0.8955/60, $0.8950

Bids $0.8877, $0.8855/50, $0.8825/20, $0.8800, $0.8780

GBP/USD

Offers $1.6600, $1.6580, $1.6550, $1.6520, $1.6505

Bids $1.6460/40, $1.6410/00, $1.6385/80, $1.6350

EUR/JPY

Offers Y146.50, Y146.00, Y145.50, Y145.20, Y145.00, Y144.80

Bids Y144.25/20, Y144.00, Y143.85/80, Y143.60/50, Y143.10/00

USD/JPY

Offers Y106.20, Y106.00, Y105.80, Y105.15/20

Bids Y104.50, Y104.20, Y104.00, Y103.80/75

EUR/GBP

Offers stg0.8467, stg0.8450, stg0.8435/40, stg0.8415/20, Stg0.8400, stg0.8385/90

Bids stg0.8320, stg0.8300/290, stg0.8260/50, stg0.8250, stg0.8220

USD/JPY Y103.00, Y103.50, Y103.80, Y104.50, Y105.00

EUR/USD $1.3570, $1.3600, $1.3650

AUD/USD $0.8900, $0.9105, $0.9150

EUR/GBP stg0.8480

USD/CAD Cad1.0605, Cad1.0700

01:30 Japan Labor Cash Earnings, YoY November +0.1% +0.4% +0.5%

The yen weakened beyond 105 per dollar for the first time since October 2008 on speculation the Bank of Japan will keep easing monetary policy to sustain a recovery as the Federal Reserve pares its debt purchases.

Japan’s currency headed for a nine-week drop, the longest loss since February, after data yesterday showed initial U.S. jobless claims fell more than economists forecast. It slid to a five-year low against the euro as Asian stocks rose for a ninth day, reducing the appeal of the yen as a haven. The majority of analysts polled by Bloomberg News see the BOJ increasing bond buying by June next year.

Japan’s industrial production expanded less than economists forecast last month. The preliminary figure released by the government today showed factory output gained 0.1 percent from October, compared with a median estimate for a 0.4 percent increase in a Bloomberg poll.

The nation’s consumer prices excluding fresh food rose 1.2 percent in November from a year earlier, official figures also showed today. The BOJ is targeting 2 percent inflation in 2015.

Australia’s dollar was set for a 10th weekly decline, the longest streak in more than three decades.

EUR / USD: during the Asian session, the pair rose to $ 1.3745

GBP / USD: during the Asian session, the pair rose to $ 1.6445

USD / JPY: during the Asian session, the pair rose to Y105.00

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

EUR/USD $1,3690 +0,09%

GBP/USD $1,6409 +0,37%

USD/CHF Chf0,8963 +0,20%

USD/JPY Y104,78 +0,50%

EUR/JPY Y143,46 +0,59%

GBP/JPY Y171,93 +0,87%

AUD/USD $0,8894 -0,34%

NZD/USD $0,8164 -0,31%

USD/CAD C$1,0646 +0,20%

01:30 Japan Labor Cash Earnings, YoY November +0.1% +0.4%

16:00 U.S. Crude Oil Inventories December -2.9