The dollar strengthened against several major currencies after the U.S. session for information on new talks between President Obama and leading members of Congress revived the hopes of reaching a compromise . It was learned that President Barack Obama will meet with congressional leaders . The meeting is scheduled for Monday with leaders of both parties , according to the White House : Senate Majority Leader Reid , Senate Minority Leader McConnell , Speaker of the House Boehner and Minority Leader Pelosi's House of Representatives .

"Given that only a few days left before the government runs out of borrowing capacity , the president makes clear the need to act for the payment of expenses and the resumption of activities of the government ," - said the representative .

The euro exchange rate against the dollar earlier rose , helped by the published data on industrial production in the eurozone. The report showed that the seasonally adjusted August industrial output increased by 1 percent , thus offsetting the decline in the level of 1 percent, which was recorded in July. It is worth noting that many economists had forecast a modest rise in August, and it was at 0.8 percent, compared with a fall of 1.5 percent, which was originally reported last month . We also recall that in June , industrial production increased by 0.7 percent. Meanwhile, it was reported that the production of capital goods increased by 2.4 percent, while the production of intermediate goods increased by 0.9 percent. We also add that the volume of consumer goods were up 0.8 percent compared to July , and the output from the energy sector increased by 0.4 percent.

We also add that the pressure on the U.S. currency is inconclusive talks between President Barack Obama and Republicans in the Senate. On Friday, the Republican members of the House of Representatives of the United States appealed to President Barack Obama to offer " short-term " to raise the U.S. debt ceiling and pass a budget for 2014 in exchange for a reduction in government spending. But the White House rejected the project.

The pound strengthened against the U.S. currency , as many market participants are waiting for release of an important report on the UK this week. Note that the most anticipated event will be the publication of the report on the unemployment rate . Experts estimate the value of this indicator will remain unchanged - at 7.7 percent.

European stocks mixed results , as investors await progress in negotiations to raise the U.S. debt limit and recovery activities of the government .

Senate Republicans blocked a Democratic plan for suspension of debt ceiling through 2014 , and negotiations between the Republicans in the House of Representatives and President Obama came to a standstill , and Senate Democrats rejected a proposal by Republican Senator Susan Collins, which attracted the interest of many at the end of last week. In addition, Senate Majority Leader Harry Reid and other Democratic leaders met with Obama at the White House , and Reid joined the " very preliminary " talks with Senate Minority Leader Mitch McConnell , who also failed.

Part of the government agencies did not work for almost 2 weeks in the U.S. continues not to leave the main macro-economic statistics , as many economists and activists continue to speak out about the dangers of default. In particular, the threat of a U.S. debt default for the world economy has warned IMF Managing Director Christine Lagarde . Note that in the U.S. today celebrated Columbus Day, but the stock markets work .

Stoxx Europe 600 Index fell less than 0.1 percent to 311.44 . Note that in the current month , the index rose by only 0.3 percent, as U.S. lawmakers can not agree on the budget , which caused a partial " shutdown " of the government . The largest economy in the world exhausts its borrowing authority is already in this Thursday , if Congress does not raise the debt limit .

As for the statistics published in the region , as shown by the latest data , which were presented today by Statistics Eurostat, up to August , industrial production increased at a faster pace than expected , recovering from a decline in the previous month. According to the report , the seasonally adjusted August industrial output increased by 1 percent , thus offsetting the decline in the level of 1 percent, which was recorded in July. It is worth noting that many economists had forecast a modest rise in August, and it was at 0.8 percent, compared with a fall of 1.5 percent, which was originally reported last month . We also recall that in June , industrial production increased by 0.7 percent.

FTSE 100 6,507.65 +20.46 +0.32%, CAC 40 4,222.96 +2.98 +0.07%, DAX 8,723.81 -1.02 -0.01%

Dassault were down 10.5 percent to 86.24 euros , showing the largest decline since August 2011 , after it became known that the revenue in the third quarter , excluding currency effects rose by only 4 per cent, which was considerably less than experts' forecasts of 8-9 percent.

Ericsson AB - the largest manufacturer of wireless networking equipment , fell 2.1 percent to 82.95 euros , as Barclays Plc downgraded the shares to ' sell' , stating that third- quarter earnings may disappoint .

Konecranes decreased by 4.9 percent to 23.13 euros as the company predicts that sales of up to 2013 will be " slightly lower " than last year.

Peugeot fell 10 percent to 11.08 euros , showing the biggest drop since April 2009 , on the background of the fact that the automaker is preparing to sell 3 billion euros ($ 4.1 billion ) of new shares, Reuters reported with reference to the three unknown people .

West Texas Intermediate fell for a second day as U.S. lawmakers negotiate an accord to end a partial government shutdown and increase debt limit, raising concern a potential default may slow growth and sap fuel demand.

Futures slid as much as 0.9 percent in New York after ending with a loss for the fourth time in five weeks Oct. 11. Senate leaders wrapped up almost four hours of debate without resolution as the government’s borrowing authority is due to lapse in three days. Net crude imports from China, the world’s second-biggest oil consumer, rose to record 25.61 million metric tons last month, customs data released on Oct. 12 show.

WTI for November delivery fell as much as 91 cents to $101.11 and was at $101.52 a barrel in electronic trading on the New York Mercantile Exchange as of 1:18 p.m. in London. The contract slipped 1 percent to $102.02 on Oct. 11, ending down 1.8 percent for the week. The volume of all futures traded was about 5.2 percent above the 100-day average.

Brent for November settlement was $1.02 lower at $110.26 a barrel on the London-based ICE Futures Europe exchange. The European benchmark crude was at a premium of $8.79 to WTI, narrowing for the first time in six sessions.

Gold rises in price , while the U.S. dollar fell against most other currencies as U.S. lawmakers apparently did not come close to reaching an agreement on the debt ceiling , despite the approaching deadline .

The talks between President Barack Obama and Republicans aimed at the resolution of the budget impasse at the weekend failed, despite signs of a possible compromise. Then the talks moved to the Senate , where party leaders are trying to work out an agreement on spending and tax reforms and pass a bill that could be quickly approved by both chambers .

Pausing the government has been going on day 14 . Meanwhile approaching Oct. 17 , the deadline for raising the U.S. debt limit , as investors sell the dollar , referring to so-called safe-haven currencies such as the Japanese yen and the Swiss franc.

Most investors still believe that lawmakers will reach an agreement on the budget and prevent a U.S. default on the debt. However, some market observers believe that the talks in Washington will have a lasting impact on the dollar, even if a solution is found .

Stocks of the world's largest exchange-traded fund backed by gold (ETF) SPDR Gold Trust, best reflect the mood of investors , on Friday declined by 5.4 tons to 890.98 tons.

The cost of the December gold futures on COMEX today rose to $ 1291.60 per ounce.

EUR/USD $1.3400, $1.3470, $1.3580, $1.3590

USD/JPY Y97.85, Y98.00, Y98.15, Y98.30, Y98.50, Y98.65, Y98.90, Y99.00

EUR/JPY Y133.25

EUR/GBP stg0.8450, stg0.8460

GBP/JPY Y157.60

USD/CHF Chf0.9125, Chf0.9150

AUD/USD $0.9450, $0.9500, $0.9550

USD/CAD C$1.0400

U.S. stock-index futures dropped as lawmakers continued to wrangle over spending and borrowing plans three days before the government reaches its debt ceiling..

Global Stocks:

Shanghai Composite 2,237.77 +9.63 +0.43%

FTSE 6,490.82 +3.63 +0.06%

CAC 4,206.54 -13.44 -0.32%

DAX 8,703.88 -20.95 -0.24%

Crude oil $101.33 -0.68%

Gold $1284.10 +1.25%

Upgrades:

American Express (AXP) upgraded to Buy at Buckingham Research; target $85

Downgrades:

Other:

IBM (IBM) reiterated at Buy at Stifel, target raised  from $230 to $237

Apple (AAPL) reiterated at Buy at Mizuho, target raised from $520 to $550

Data

00:30 AU Gross mortgage lending in August +2.4% -2.1% -3.9%

1:30 China's Producer Price Index y / y in September -1.6% -1.4% -1.3%

1:30 China Consumer Price Index y / y in September +2.6% +2.8% +3.1%

7:15 Index Switzerland Producer and Import Prices m / m in September +0.2% +0.3% +0.1%

7:15 Index Switzerland Producer and Import Prices y / y in September 0.2% 0.0% 0.0%

09:00 EU Industrial Production m / m in August -1.5% +0.8% +1.0%

09:00 EU Industrial Production y / y in August -2.1% -2.5% -2.1%

09:00 EU Eurogroup meeting

The euro rose against the dollar , recovering with a minimum values ​​of the session , which helped the published data on industrial production in the Eurozone.

The report showed that the seasonally adjusted August industrial output increased by 1 percent , thus offsetting the decline in the level of 1 percent, which was recorded in July. It is worth noting that many economists had forecast a modest rise in August, and it was at 0.8 percent, compared with a fall of 1.5 percent, which was originally reported last month . We also recall that in June , industrial production increased by 0.7 percent.

Meanwhile, it was reported that the production of capital goods increased by 2.4 percent, while the production of intermediate goods increased by 0.9 percent. We also add that the volume of consumer goods were up 0.8 percent compared to July , and the output from the energy sector increased by 0.4 percent.

At Statistics also reported that on an annualized basis , industrial output fell in August by 2.1 percent, which was slightly slower than the decline of 2.5 percent , which many economists had forecast . Note that this deterioration followed a decline of 1.9 percent in July , which was revised from -2.1 percent.

We also add that the pressure on the U.S. currency is inconclusive talks between President Barack Obama and Republicans in the Senate. On Friday, the Republican members of the House of Representatives of the United States appealed to President Barack Obama to offer " short-term " to raise the U.S. debt ceiling and pass a budget for 2014 in exchange for a reduction in government spending. But the White House rejected the project.

The pound strengthened against the U.S. currency, but in spite of this, continues to trade near four-week low , as many market participants are waiting for release of an important report on the UK this week. Note that the most anticipated event will be the publication of the report on the unemployment rate . Experts estimate the value of this indicator will remain unchanged - at 7.7 percent.

Pound is also rising against the background of the negotiations to raise the U.S. debt ceiling again deadlocked.

EUR / USD: during the European session, the pair fell from $ 1.3570 to $ 1.3543 , but later recovered to $ 1.3567

GBP / USD: during the European session, the pair fell to $ 1.5952 , according to then rose to $ 1.5995

USD / JPY: during the European session, the pair fell to Y98.16.

EUR/USD

Offers $1.3650, $1.3600/10, $1.3575/85, $1.3569

Bids $1.3545/40, $1.3525/15, $1.3500, $1.3485/80, $1.3460/50

GBP/USD

Offers $1.6120/25, $1.6100, $1.6070/80, $1.6040/50, $1.6020, $1.6000/05

Bids $1.5940, $1.5920/00, $1.5870, $1.5850/40, $1.5820

AUD/USD

Offers $0.9550, $0.9520/30, $0.9500, $0.9480/85

Bids $0.9435/30, $0.9420, $0.9380/75, $0.9350

EUR/GBP

Offers stg0.8550/55, stg0.8520/25, stg0.8500, stg0.84945

Bids stg0.8455/50, stg0.8440, stg0.8425/15, stg0.8400, stg0.8370/65, stg0.8300

EUR/JPY

Offers Y134.50, Y133.90/00, Y133.80, Y133.50

Bids Y133.10/00, Y132.50, Y132.25/20, Y132.00

USD/JPY

Offers Y99.00, Y98.80, Y98.50, Y98.37

Bids Y98.05/00, Y97.85/80, Y97.50, Y97.20

European stocks fluctuated between gains and losses as investors awaited developments in talks on raising the U.S. debt limit and restoring government operations. U.S. index futures and Asian shares declined.

The Stoxx Europe 600 Index slipped less than 0.1 percent to 311.44 at 10:57 a.m. in London. The gauge has advanced 0.3 percent in October even as U.S. lawmakers failed to agree on a budget, forcing the first partial government shutdown in 17 years. The world’s biggest economy will exhaust its borrowing authority on Thursday without action by Congress to raise the debt limit.

U.S. Senate Majority Leader Harry Reid said yesterday that he had a “productive conversation” with Minority Leader Mitch McConnell without reaching a conclusion on a plan to send to the chamber for a vote. Senate Republicans have blocked a Democratic plan to push the next debt-limit fight into 2015 and Senate Democrats rejected a proposal from Republican Senator Susan Collins of Maine.

Collins’s group of moderate senators trying to frame a deal will probably meet again today, said a Senate Democratic aide with knowledge of the negotiations. The House of Representatives plans to reconvene at noon in Washington, with the Senate meeting from 2 p.m.

China’s exports unexpectedly fell in September. Overseas shipments dropped 0.3 percent from a year earlier, the General Administration of Customs said in Beijing on Oct. 12. The slowdown resulted from a high basis of comparison with last year, the agency said.

The Stoxx 600 has rallied 11 percent in 2013 as the euro area emerged from a recession and central banks maintained stimulus measures to support the global economy.

Dassault declined 6.1 percent to 90.55 euros, the largest slide since August 2011. Revenue in the third quarter, excluding currency effects, rose 4 percent, falling short of targeted growth of 8 percent to 9 percent, according to a company statement.

Konecranes lost 4.9 percent to 23.13 euros in Helsinki as the company forecast that 2013 sales will be “slightly lower” than last year.

Peugeot plunged 10 percent to 11.08 euros, the biggest decline since April 2009. The carmaker is preparing to sell 3 billion euros ($4.1 billion) of new stock, with China’s Dongfeng Motor Corp. and the French government buying matching stakes in Europe’s second-biggest carmaker, Reuters reported, citing three unidentified people.

Ericsson AB, the largest maker of wireless-network equipment, retreated 2.3 percent to 82.80 kronor. Barclays Plc downgraded the shares to underweight, similar to a sell recommendation, from equal weight, saying third-quarter earnings may disappoint.

FTSE 100 6,495.94 +8.75 +0.13%

CAC 40 4,219.14 -0.84 -0.02%

DAX 8,720.21 -4.62 -0.05%

EUR/USD $1.3400, $1.3470, $1.3580, $1.3590

USD/JPY Y97.85, Y98.00, Y98.15, Y98.30, Y98.50, Y98.65, Y98.90, Y99.00

EUR/JPY Y133.25

EUR/GBP stg0.8450, stg0.8460

GBP/JPY Y157.60

USD/CHF Chf0.9125, Chf0.9150

AUD/USD $0.9450, $0.9500, $0.9550

USD/CAD C$1.0400

Asian stocks fell, with a regional gauge retreating from a four-month high, as American lawmakers struggled over an accord to raise the U.S. debt limit and restore government operations.

Nikkei 225 14,404.74 +210.03 +1.48%

Hang Seng 23,218.32 +267.02 +1.16%

S&P/ASX 200 5,207.9 -22.97 -0.44%

Shanghai Composite 2,237.77 +9.63 +0.43%

Hon Hai Precision Industry Co., the assembler of Apple Inc.’s iPhones and iPads, slid 1.9 percent in Taipei.

Newcrest Mining Ltd. , Australia’s No. 1 gold producer, fell 3.8 percent as the bullion traded near a three-month low.

CSR Corp. and China CNR Corp., the nation’s biggest train makers, jumped by the 10 percent daily limit in Shanghai on speculation they will win contracts to construct of Thailand’s high-speed rail system.

The dollar slipped for a second day versus the euro as talks between President Barack Obama and House Republicans hit an impasse and U.S. senators from both parties struggled to draft an accord that averts a U.S. default. Democratic lawmakers warned over the weekend that a lack of movement may have an effect on financial markets. U.S. stock trading will take place on the federal Columbus Day holiday today. Bond markets will be closed. Japan’s markets are closed today for a holiday.

The yen advanced versus the greenback for the first time in five days after Obama reiterated he will negotiate on the budget after the debt ceiling is raised and a partial government shutdown ends. The U.S.’s borrowing authority lapses on Oct. 17.

The euro gained before a report forecast to show industrial production in the region rebounded in August. Factory production in the 17-nation euro area rose 0.8 percent in August, after a 1.5 percent decline the previous month, the European Union’s statistics office is forecast to say today according to a Bloomberg News survey.

The Singapore dollar held a two-week gain after the central bank decided to retain the currency’s “modest and gradual” appreciation.

EUR / USD: during the Asian session the pair rose to $1.3565

GBP / USD: during the Asian session, the pair rose to $1.5985

USD / JPY: during the Asian session the pair fell to Y98.20

There is a limited calendar on both sides of the Atlantic Monday, as the Columbus Day holiday adds to the shutdown in keeping Federal offices closed. Despite Bond markets being closed in the US, stock markets are open, although trade is likely to be limited. The European calendar kicks off at 0630GMT, with the release of the September Banque de France retail trade survey. At 0900GMT, the eurozone August industrial output data will be published and is seen down 2.5% on the month. At 1100GMT, in Luxembourg, the Eurogroup of eurozone finance minister meet, to be followed by a full gathering of the Ecofin ministers at 1300GMT. EU FinMins are set to discuss backstops for banks participating in the ECB's balance sheet review, and plans for a Single Resolution Mechanism in Luxembourg. At 1530GMT, Executive Board member Benoit Coeure is slated to take part in a panel session at conference "Risk Taking in Financial Institutions, Regulation and the Real Economy" organised by ACPR in Paris, France. Later, at 1600GMT, ECB Executive Board member Yves Mersch will participate in an introductory event to the European Cultural Days 2013 "Latvia today" organised by the European Central Bank in Frankfurt, Germany.

00:30 Australia Home Loans August +2.4% -2.1%

01:30 China PPI y/y September -1.6% -1.4%

01:30 China CPI y/y September +2.6% +2.8%

07:15 Switzerland Producer & Import Prices, m/m September +0.2% +0.3%

07:15 Switzerland Producer & Import Prices, y/y September +0.2% 0.0%

08:00 China New Loans September 711 669

09:00 Eurozone Industrial production, (MoM) August -1.5% +0.8%

09:00 Eurozone Industrial Production (YoY) August -2.1% -2.5%

09:00 Eurozone Eurogroup Meetings

12:00 Canada Bank holiday

21:45 New Zealand REINZ Housing Price Index, m/m September +2.1%