The yen and dollar weakened, reversing yesterday’s gains, as a recovery in gold and U.S. stocks sapped demand for the safest assets.

Japan’s currency dropped versus all of its 16 most-traded peers as investors bet its rally yesterday when investors sought haven investments was excessive.

Stocks rose after Commerce Department data showed new-home construction in the U.S. jumped more than forecast in March. Housing starts in the U.S. increased 7 percent to a 1.04 million annual rate, the most since June 2008. Economists in a Bloomberg survey forecast 930,000.

The greenback remained lower versus most major peers as figures from the Federal Reserve showed output at U.S. factories fell 0.1 percent after a 0.9 percent increase in February that was larger than first reported. A survey forecast a 0.1 percent rise. Total industrial production rose 0.4 percent.

The euro climbed to a seven- week high versus the greenback. The U.S. consumer-price index unexpectedly declined 0.2 percent last month after a 0.7 percent jump in February, the Labor Department said in Washington. The forecast in a Bloomberg survey was for no change. The core measure, which excludes volatile food and energy costs, rose 0.1 percent, less than forecast. For the 12 months that ended in March, consumer prices increased 1.5 percent, the smallest gain since July, compared with a 2 percent year-over-year gain reported in February.

Sterling fell to the weakest in a month against the euro after a report showed consumer-price inflation stayed above the Bank of England’s target at the same time as growth stagnates. The pound weakened 0.7 percent to 85.88 pence per euro after touching 86.02, the least since March 15. The currency appreciated 0.4 percent to $1.5351.

European stocks fell for a third straight day as German investor confidence declined more than forecast and the International Monetary Fund cut its global growth outlook.

In Germany, Europe’s biggest economy, the ZEW Center for European Economic Research’s index of investor and analyst expectations fell to 36.3 in April from 48.5 last month. Economists in a survey had predicted a reading of 41.

The IMF trimmed its 2013 growth forecasts for a fourth consecutive time, saying the global economy will expand 3.3 percent. The Washington-based fund had previously estimated 3.5 percent expansion this year.

National benchmark indexes declined in all 18 western European markets, except Iceland. The U.K.’s FTSE 100 Index slipped 0.6 percent, Germany’s DAX Index slid 0.4 percent and France’s CAC 40 lost 0.7 percent.

Michael Page plunged 5 percent to 377.4 pence, the biggest drop since May 4, 2012. The recruitment company reported a 6.7 percent drop in first-quarter gross profit and forecast the second quarter will be “challenging.”

LVMH retreated 3.8 percent to 126.25 euros, the lowest since Nov. 16. The maker of Louis Vuitton bags said fashion and leather goods revenue rose 3 percent in the three months through March, excluding currency swings and acquisitions, the weakest quarterly rate since the final period of 2009. Analysts had predicted 5 percent growth.

Stockmann Oyj lost 3 percent to 11.30 euros, the lowest price in almost four years. The Finnish department-store owner said full-year profit will miss forecasts as a recession in the northernmost country using the euro hurt first-quarter revenue.

Danone rose 2.2 percent to 55.68 euros after the Paris- based maker of Evian bottled-water and Activia yogurt reported first-quarter sales growth that beat estimates as strong demand for baby food in emerging markets offset weak dairy sales in Europe. Comparable sales gained 5.6 percent, topping the 4 percent average of 14 analysts’ estimates compiled by Bloomberg.

Actelion Ltd. gained 3.7 percent to 54.30 francs after the Swiss drugmaker that gets almost all its sales from a treatment for a rare lung disease reported quarterly profit that beat estimates and said it may raise its full-year forecast.

Brent crude dropped below $100 a barrel for the first time since July on signs global economic growth will slow, curbing fuel use. West Texas Intermediate oil slipped to a four-month low on speculation U.S. stockpiles rose.

Brent futures touched $98 a barrel as the International Monetary Fund cut its global growth forecast and urged European policy makers to take action to bolster growth.

The global economy will expand 3.3 percent this year, less than the 3.5 percent forecast in January, after 3.2 percent growth in 2012, the Washington-based IMF said today, cutting its 2013 prediction a fourth consecutive time. The IMF sees the euro area shrinking 0.3 percent, compared with a 0.2 percent drop estimated in January, with France joining Spain and Italy in contracting.

The ZEW Center for European Economic Research in Mannheim, Germany, said its German index of investor and analyst expectations, which aims to predict economic developments six months in advance, fell to 36.3 from 48.5 in March. Economists surveyed by Bloomberg forecast a drop to 41.

Futures tumbled yesterday after data showed China’s economy expanded at a slower pace than expected last quarter.

A government report tomorrow will probably show that U.S. crude supplies gained 1.2 million barrels last week to 390.1 million, the highest level since July 1990, according to a survey.

Brent oil for June settlement fell $1.09, or 1.1 percent, to $99.54 on the London-based ICE Futures Europe exchange.

WTI crude for May delivery slipped 27 cents, or 0.3 percent, to $88.44 a barrel on the New York Mercantile Exchange. Prices fell as much as $2.65 to $86.06 earlier. 

After yesterday's aggressive sell-gold began to return loss and went into positive territory for the first time in two days. Despite the fact that until full payment of yesterday's losses still far away, at auction in the U.S. spot gold prices fluctuate at a level of $ 1,387. Now the prices are still faced with obstacles and resistance testing $ 1,400 is unlikely to significantly strengthen the metal or the stability of prices will, at least in the short term.

Investor sentiment is supported by statistical data and the U.S.. Industrial production in March, adjusted for seasonal variations increased by 0.4% compared with February. Capacity utilization rose to 78.5% from 78.3%. The cold snap in the U.S. has led to a sharp increase in production in the communal area in March, which contributed to the increase in industrial production as a whole, despite the decline in the manufacturing industry. The data were better than expected. Economists had expected industrial production to grow by 0.3% and capacity utilization was 78.4%.

Construction of homes rose last month to the highest level since the pre-crisis times, that was a sign that the housing market recovery will continue to support economic growth. The total number of housing starts in March rose by 7.0% and adjusted for seasonal variation was 1.04 million homes. The reason for this increase was a jump in construction of multi-family homes, which is a volatile component of the industry. Construction of houses for at least five families increased by about 27%, and construction of single-family homes fell by 4.8% compared to the previous month. General index was the strongest since June 2008.

The cost of the June gold futures on COMEX today rose to 1404.02 dollars per ounce.

EUR/USD $1.2975, $1.3000, $1.3045, $1.3050, $1.3065, $1.3100, $1.3135, $1.3150, $1.3200

USD/JPY Y97.00, Y97.50, Y98.00, Y99.00,

AUD/USD $1.0500

GBP/USD $1.5400

EUR/GBP stg0.8500

EUR/CHF Chf1.2140

U.S. stock futures rose as housing starts and corporate earnings topped estimates.

Global Stocks:

Nikkei  13,221.44 -54.22 -0.41%

Hang Seng 21,672.03 -100.64 -0.46%

Shanghai Composite 2,194.85 +12.90 +0.59%

FTSE  6,339.78 -3.82 -0.06%

CAC  3,719.68 +9.20 +0.25%

DAX 7,732.74 +20.11 +0.26%

Crude oil $88.53 -0.20%

Gold $1397.10 +2.64%

Data

01:30 Australia RBA Meeting's Minutes April

01:30 Australia New Motor Vehicle Sales (MoM) March -0.1% -0.6%

01:30 Australia New Motor Vehicle Sales (YoY) March +9.4% +4.5%

02:55 Australia RBA Assist Gov Debelle Speaks

07:15 Switzerland Producer & Import Prices, m/m March +0.1% 0.0% 0.0%

07:15 Switzerland Producer & Import Prices, y/y March +0.1% -0.2% -0.3%

08:30 United Kingdom RPI-X, Y/Y March +3.2% +3.2% +3.2%

08:30 United Kingdom Retail Price Index, m/m March +0.7% +0.4% +0.4%

08:30 United Kingdom Retail prices, Y/Y March +3.2% +3.3% +3.3%

08:30 United Kingdom Producer Price Index - Input (MoM) March +3.2% -0.3% -0.1%

08:30 United Kingdom Producer Price Index - Input (YoY) March +2.5% +0.4% +0.4%

08:30 United Kingdom Producer Price Index - Output (MoM) March +0.8% +0.3% +0.3%

08:30 United Kingdom Producer Price Index - Output (YoY) March +2.3% +2.0% +2.0%

08:30 United Kingdom HICP, m/m March +0.7% +0.3% +0.3%

08:30 United Kingdom HICP, Y/Y March +2.8% +2.8% +2.8%

08:30 United Kingdom HICP ex EFAT, Y/Y March +2.3% +2.3% +2.4%

09:00 Eurozone ZEW Economic Sentiment April 33.4 31.5 24.9

09:00 Eurozone Harmonized CPI March +0.4% +1.2% +1.2%

09:00 Eurozone Harmonized CPI, Y/Y (Finally) March +1.7% +1.7% +1.7%

09:00 Eurozone Harmonized CPI ex EFAT, Y/Y March +1.3% +1.4% +1.5%

09:00 Germany ZEW Survey - Economic Sentiment April 48.5 41.5 36.3

09:30 United Kingdom BOE Inflation Letter April

The yen fell against the dollar, despite yesterday's strengthening against the measures easing of monetary policy by the Bank of Japan, which continue to put pressure on the Japanese yen. Note that the dynamics of trade affected the official information published today, which showed that the international rating agency Moody's changed the rating outlook of China's government bonds to stable from positive, confirming its rating to "Aa3". At the same time it was announced that Moody's affirmed the short-term rating in foreign currency at the level of "P-1". Note that this information was provided in a press release from the agency. Meanwhile, the paper by Moody's reported that credit indicators continue to comply with the PRC rated "Aa3", which is supported by continued economic growth, sustainable public finances and exceptionally stable balance of payments. At the same time, it was noted that neither the Chinese government nor the banking sector does not depend on external funding, reducing the vulnerability of the economy to international financial shocks.

Meanwhile, given the current information, the agency's analysts noted that progress in reducing the hidden risks by increasing the transparency of local government and curb rapid credit growth was not as strong as expected. In this regard, the probability of increasing the rating down.

The euro exchange rate rose sharply against the dollar, helped by dannye.Zametim submitted that according to the final results, which were presented today by the European Central Bank, following last month's annual rate of inflation in the euro area declined, being at the same time below the target level.

Economists note that the decline in upward pressure on consumer prices reduces one more obstacle for monetary stimulus from the ECB to support the affected economies of the eurozone in the coming months. Meanwhile, it was observed that not all countries have benefited from the reduction to the same extent. As it became known, the level of inflation has remained considerably higher than the average in Spain and the Netherlands, where falling incomes in real terms undermines the chances of recovery. According to the report, in March the annual rate of inflation in the 17 countries that use the euro fell to 1.7%, compared with 1.8% in February, confirming an earlier estimate. We also add that the March figure was the lowest since August 2010.

The data also showed that the decline stood at the head of the price of transport fuel, telecommunications, and medical services. At the same time, it was reported that electricity prices have risen.

Meanwhile, the impact on the dynamics of trade expectations publication of statistics by the United States.

In the U.S., is expected to slow the pace of increase in the CPI to 1.6% from 2% in February. In addition to the U.S. Census Bureau will publish data on the number of new buildings in the country in March, as well as the number of building permits issued during the period. Analysts believe that the number of new homes in the U.S. will grow by 1.4% compared to February and totaled 930,000 against 917,000, while the number of building permits issued during the same period increased by 0.4% - to 943,000 against 939,000 in February.

The pound fell to a three-week low against the euro after a report showed that consumer prices remained above the target of the Bank of England. As shown by the latest official data, which were released today by the Office for National Statistics, the inflation rate in the UK remained stable in March, but is still ahead of wage growth.

According to the report, the annual rate of consumer price inflation in March remained at 2.8%, despite the expectations of economists to rise to 2.9%. As it became known to affect the dynamics of a slowdown in prices gasoline, alcohol, and furniture, which was partially offset by a substantial annual increase in the price of books, DVD-ROMs and auto insurance premiums. In addition, the Office for National Statistics reported that the inflation rate producer prices slowed in March to 2%, compared to the same period in the previous year, registering with the lowest rate since July. Recall that in February, the inflation rate was 2.3% in February. At the same time, the data showed that the company's expenses for raw materials fell in March by 0.1%, which was associated with a reduction in the price of crude oil. However, in the ONS noted that the stability of consumer prices and the slowdown in inflation in producer prices may be short-lived. We add that the forecast of the Bank of England, the annual inflation rate will rise this year and will be above its target of 2% to about 2016.

EUR / USD: during the European session, the pair fell to $ 1.3026, after which rose to a high of $ 1.3125

GBP / USD: during the European session varies in the range of $ 1.5270-$ 1.5318

USD / JPY: during the European session, the pair rose to Y98.01

At 12:30 GMT Canada will report on changes in the volume of production and the supply volume of transactions with foreign securities in February. At the same time, the U.S. will announce the amount of building permits issued, the number of Housing Starts, the consumer price index, consumer price index excluding prices for food and energy, the Consumer Price Index (not seasonally adjusted) and the main index of consumer prices for March . At 13:15 GMT the United States will be released capacity utilization, and become aware of a change in the volume of industrial production in March. At 16:30 GMT Swiss SNB Vice-Manager Jean-Pierre Danthine a speech. At 20:30 GMT the United States will announce the change in the volume of crude oil, according to the API for April. At 22:45 GMT New Zealand will release the consumer price index for the 1st quarter.

EUR/USD

Ордера на продажу $1.3195/20, $1.3180, $1.3170, $1.3153, $1.3135/40

Ордера на покупку $1.3020, $1.3000, $1.2950

GBP/USD

Ордера на продажу $1.5450/60, $1.5420/25, $1.5395/00, $1.5375/80, $1.5340/50

Ордера на покупку $1.5250, $1.5225/20, $1.5200, $1.5180, $1.5150

AUD/USD

Ордера на продажу $1.0445/50, $1.0420, $1.0390/00

Ордера на покупку $1.0320, $1.0310/00, $1.0250, $1.0200

EUR/JPY

Ордера на продажу Y129.50, Y129.00, Y128.75, Y128.50

Ордера на покупку Y127.00, Y126.50, Y126.20/00, Y125.55/50, Y125.20, Y125.00

USD/JPY

Ордера на продажу Y99.00, Y98.75/80, Y98.50

Ордера на покупку Y97.00, Y96.80, Y96.55/50, Y96.00, Y95.70

EUR/GBP

Ордера на продажу stg0.8650, stg0.8610/15, stg0.8600/05, stg0.8580/85, stg0.8560/65, stg0.8545/50

Ордера на покупку stg0.8510, stg0.8500, stg0.8485/80, stg0.8460/50, stg0.8410/00

European stocks slid for a third day as German investor confidence declined more than forecast. Asian shares retreated while U.S. index futures indicated a rebound from the biggest drop in five months.

The Stoxx Europe 600 Index (SXXP) fell 0.7 percent to 288.31 at 10:01 a.m. in London, extending the decline over the past three days to 2.3 percent.

Michael Page plunged 7.6 percent to 367.1 pence, the biggest decline since March 2012. The recruitment company reported a 6.7 percent drop in first-quarter gross profit and forecast the second quarter will be “challenging.”

LVMH retreated 3.7 percent to 126.45 euros, the lowest since Nov. 19. The maker of luxury goods said revenue climbed 6 percent to 6.95 billion euros ($9.1 billion) in the three months through March, meeting the average of estimates. Sales rose 7 percent excluding exchange-rate fluctuations and acquisitions, compared with 14 percent in the first quarter of last year and 8 percent in the final three months of 2012.

Stockmann Oyj slumped 5.9 percent to 10.96 euros, the lowest price in almost four years. The Finnish department-store owner said full-year profit will miss forecasts as a recession in the northernmost country using the euro hurt revenue in the first quarter.

Danone (BN) rose 3.8 percent to 56.52 euros, the highest since January 2008, after the Paris-based maker of Evian bottled-water and Activia yogurt reported first-quarter sales growth that beat estimates as strong demand for baby food in emerging markets offset weak dairy sales in Europe. Comparable sales gained 5.6 percent, topping the 4 percent average of 14 analysts’ estimates compiled by Bloomberg.

At that moment:

FTSE 100 6,313.76 -29.84 -0.47%

CAC 40 3,693.96 -16.52 -0.45%

DAX 7,681.86 -30.77 -0.40%

EUR/USD $1.2975, $1.3000, $1.3045, $1.3050, $1.3065, $1.3100, $1.3135, $1.3150, $1.3200

USD/JPY Y97.00, Y97.50, Y98.00, Y99.00,

AUD/USD $1.0500

GBP/USD $1.5400

EUR/GBP stg0.8500

EUR/CHF Chf1.2140

1. Sold E5.069bln vs target E4.0-E5.0bln
   
2. Sold E1.191bln  6-month Letra at avg yield 0.53% (0.794%); bid-to-cover 3.77 vs 3.22 prev  
   
3. Sold E3.878bln 12-month Letra at avg yield 1.235% (1.363); bid-to-cover 2.04 vs 1.85 prev
   

Asian stocks fell, dragging the regional benchmark equities gauge lower for a second day, led by raw-material producers amid concern slower growth in China will curb the global economic recovery.

Nikkei 225 13,221.44 -54.22 -0.41%

Hang Seng 21,763.94 -8.73 -0.04%

S&P/ASX 200 4,950.8 -17.11 -0.34%

Shanghai Composite 2,194.85 +12.90 +0.59%

Glencore International Plc, the world’s biggest publicly traded commodities supplier, dropped 2.5 percent in Hong Kong.

Daphne International Holdings Ltd. slumped 7.8 percent after the Chinese shoemaker reported first-quarter sales declined.

Softbank Corp. sank 6.8 percent after Dish Network Corp. topped the Japanese wireless carrier’s bid for control of Sprint Nextel Corp., the No. 3 mobile-phone company in the U.S.

01:30 Australia RBA Meeting's Minutes April

01:30 Australia New Motor Vehicle Sales (MoM) March -0.1% -0.6%

01:30 Australia New Motor Vehicle Sales (YoY) March +9.4% +4.5%

02:55 Australia RBA Assist Gov Debelle Speaks

The yen has continued to weaken since that statement as Haruhiko Kuroda took over as BOJ governor and pledged to do whatever it takes to defeat deflation. The U.S. Treasury said in its semi-annual currency report that Japan must “remain oriented towards meeting respective domestic objectives using domestic instruments and to refrain from competitive devaluation.” Draghi said in Amsterdam yesterday that the increased stimulus announced by the BOJ is “determined by domestic policy considerations” and that “there is no currency war.” Finance ministers and central bankers from the G-20 nations will gather this week in Washington.

The Dollar Index fell for the first time in three days before U.S. data that may show inflation was contained and growth in factory output slowed. The U.S. Labor Department will probably say today that inflation as measured by consumer prices stalled in March from the previous month, when it climbed 0.7 percent, according to the median estimate of economists surveyed by Bloomberg News. The consumer-price index advanced 1.6 percent from a year earlier, the poll predicted, following a 2 percent gain in February.

New Zealand’s dollar rallied from its biggest drop in more than a year.

EUR / USD: yesterday the pair rose, retreating from yesterday's low

GBP / USD: yesterday the pair rose to $ 1.5300.

USD / JPY: yesterday the pair rose to Y97.50.

.

Change % Change Last

GOLD 1,361.10 -140.30 -9.3%

OIL 88.71 -2.58 -2.8%

Change % Change Last

Nikkei 225 13,275.66 -209.48 -1.55%

Hang Seng 21,807 -282.05 -1.28%

S&P/ASX 200 4,967.9 -45.63 -0.91%

Shanghai Composite 2,181.94 -24.84 -1.13%

FTSE 100 6,343.6 -40.79 -0.64 %

CAC 40 3,710.48 -18.82 -0.50 %

DAX 7,712.63 -32.14 -0.41 %

DJIA 14,599.20 -265.86 -1.79%

S&P 500 1,552.36 -36.49 -2.30%

NASDAQ 3,216.49 -78.46 -2.38%

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

EUR/USD $1,3047 -0,51%

GBP/USD $1,5290 -0,33%

USD/CHF Chf0,9306 +0,38%

USD/JPY Y96,58 -1,84%

EUR/JPY Y126,04 -2,37%

GBP/JPY Y147,69 -2,17%

AUD/USD $1,0313 -1,86%

NZD/USD $0,8421 -1,96%

01:30 Australia RBA Meeting's Minutes April

01:30 Australia New Motor Vehicle Sales (MoM) March -0.1% -0.6%

01:30 Australia New Motor Vehicle Sales (YoY) March +9.4%

02:55 Australia RBA Assist Gov Debelle Speaks

07:15 Switzerland Producer & Import Prices, m/m March +0.1% 0.0%

07:15 Switzerland Producer & Import Prices, y/y March +0.1% -0.2%

08:30 United Kingdom RPI-X, Y/Y March +3.2% +3.2%

08:30 United Kingdom Retail Price Index, m/m March +0.7% +0.4%

08:30 United Kingdom Retail prices, Y/Y March +3.2% +3.3%

08:30 United Kingdom Producer Price Index - Input (MoM) March +3.2% -0.3%

08:30 United Kingdom Producer Price Index - Input (YoY) March +2.5% +0.4%

08:30 United Kingdom Producer Price Index - Output (MoM) March +0.8% +0.3%

08:30 United Kingdom Producer Price Index - Output (YoY) March +2.3% +2.0%

08:30 United Kingdom HICP, m/m March +0.7% +0.3%

08:30 United Kingdom HICP, Y/Y March +2.8% +2.8%

08:30 United Kingdom HICP ex EFAT, Y/Y March +2.3% +2.3%

09:00 Eurozone ZEW Economic Sentiment April 33.4 31.5

09:00 Eurozone Harmonized CPI March +0.4% +1.2%

09:00 Eurozone Harmonized CPI, Y/Y (Finally) March +1.7% +1.7%

09:00 Eurozone Harmonized CPI ex EFAT, Y/Y March +1.3% +1.4%

09:00 Germany ZEW Survey - Economic Sentiment April 48.5 41.5

09:30 United Kingdom BOE Inflation Letter April

12:00 U.S. FOMC Member Dudley Speak April

12:30 Canada Manufacturing Shipments (MoM) February -0.2% +0.6%

12:30 Canada Foreign Securities Purchases February 13.34 7.28

12:30 U.S. Building Permits, mln March 0.946 0.944

12:30 U.S. Housing Starts, mln March 0.917 0.930

12:30 U.S. CPI, m/m March +0.7% 0.0%

12:30 U.S. CPI, Y/Y March +2.0% +2.0%

12:30 U.S. CPI excluding food and energy, m/m March +0.2% +0.2%

12:30 U.S. CPI excluding food and energy, Y/Y March +2.0% +2.0%

13:00 Eurozone ECB President Mario Draghi Speaks

13:00 U.S. FOMC Member Charles Evans Speaks

13:15 U.S. Industrial Production (MoM) March +0.7% +0.3%

13:15 U.S. Capacity Utilization March 79.6% 78.4%

14:00 U.S. Treasury Sec Lew Speaks

16:30 Switzerland Gov Board Member Danthine Speaks

19:00 U.S. FOMC Member Yellen Speaks

19:00 U.S. Treasury Sec Lew Speaks

20:30 U.S. API Crude Oil Inventories April +5.1

22:45 New Zealand CPI, q/q Quarter I -0.2% +0.5%

22:45 New Zealand CPI, y/y Quarter I +0.9% +0.9%