The dollar rose against the euro after better-than-forecast U.S. data analysts increased speculation that the Federal Reserve will cut bond purchases.

As shown by recent data that has been provided by the Ministry of Commerce, at the end of last month the demand for expensive manufactured goods increased significantly, thereby exceeded the forecasts of experts, and fixing the second consecutive monthly increase. According to the report, the seasonally adjusted total number of orders for durable goods rose in May by 3.6%, reaching at the same level of $ 231 billion, which was followed after an increase of 3.5% in the previous month, which was revised increase of 3.3%. According to experts the average value of this indicator was to increase by 3.0%.

Sales of new U.S. homes rose in May to its highest level in nearly five years, an important indicator of prices of existing homes also rose. This indicates a significant resistance U.S. housing sector, despite recent concerns about rising rates on mortgage loans. Sales in the primary housing market in May rose 2.1% and adjusted for seasonal variations were 476,000 homes a year, reaching the highest level since July 2008. According to another report, the housing price index Case-Shiller 20-city in April rose by 12.1% compared to April 2012. Housing prices in 20 metropolitan areas in April showed the biggest monthly increase since the beginning of the data, up 2.5% compared with March.

Consumer confidence in the U.S. in June rose to its highest level in five years. This is evidenced by the report, a private research group Conference Board, released Tuesday. According to the data, the index of consumer confidence in the U.S. in June rose to 81.4 from a revised 74.3 in May values. Earlier it was reported that in May, the index was 76.2. The June index was the highest since January 2008. Economists had expected the index falling to 75.6 in June.

The yen earlier rose, retreating from a two-week low against the U.S. dollar, against the background of a two-day decline of Asian shares and the liquidity problems of Chinese banks. Recall that at the end of last week due to the lack of liquidity rate of one-day and weekly repo interbank lending rose to its highest level in five years, reaching the historic mark June 20 in 13.44%. Yesterday, the People's Bank of China has warned the country's banks on the need for greater control over their own liquidity, as well as on its risks. In this regard, Goldman Sachs analysts downgraded China's GDP growth forecast for 2013 from 7.8% to 7.4%, citing weaker macro-economic indicators and the tightening of financial conditions.

Value of the pound earlier rose against the U.S. dollar, which was associated with the speeches of the representatives of the Bank of England, as well as the publication of the data.

Note that the report of the British Bankers' Association showed that the number of approved applications for mortgage loans increased significantly in May, thereby exceeded the forecasts of most experts, since the scheme lending contributed to the entry of those first decided to buy a home.

According to a report on the results of May, the number of approved applications for mortgage loans aimed at buying a home has increased to the level of 36,102, compared with 32,952 in the previous month. It is worth noting that according to the average forecasts of experts the value of this index would grow to the level of 33100.

In addition, it was reported that the total number of mortgage approvals rose in May to the level of 65,752, compared with 61,262 a month ago.

In the British Bankers Association also reported that the increase in the number of permits for house purchase continued its upward trend, which is celebrated from the beginning of this year. Meanwhile, it was noted that the assistance from the scheme of mortgage lending is expected to continue to attract more and more new buyers into the housing market.

European stocks climbed from a six-month low as the People's Bank of China allayed concern over a cash crunch, and as U.S. data on durable goods, new-home sales and confidence increased more than economists had projected.

China's central bank said it will keep money-market rates at a "reasonable" level and seasonal forces that have driven them up will fade.

The People's Bank of China has provided liquidity to some financial institutions to stabilize money market rates and will use short-term liquidity operation and standing lending facility tools to ensure steady markets, according to a statement posted to its website today.

Orders for U.S. durable goods rose more than forecast in May. Bookings for goods meant to last at least three years climbed 3.6 percent, after increasing a revised 3.6 percent the prior month, the Commerce Department reported today in Washington. The median forecast of 81 economists called for a 3 percent increase.

Sales of new U.S. homes also climbed more than estimated in May, to the highest level in almost five years. Purchases rose 2.1 percent to an annualized pace of 476,000 homes, exceeding all estimates in a survey and the most since July 2008, the Commerce Department said today in Washington.

The Conference Board's index of U.S. consumer confidence increased to 81.4 in June from 74.3 a month earlier, data from the New York-based private research group showed today. The median forecast of 77 economists called for a reading of 75.1.

European Central Bank President Mario Draghi said the euro-area economy still requires a loose monetary policy from the central bank.

National benchmark indexes rose in all of the 18 western European markets except Italy. The U.K.'s FTSE 100 added 1.2 percent, while France's CAC 40 advanced 1.5 percent. Germany's DAX increased 1.6 percent.

Peugeot rallied 4.9 percent to 6.11 euros, its biggest gain in more than a month. Europe's second-largest carmaker said it has received more than 26,000 orders in Europe for the 2008-model crossover. Peugeot is betting that the new 208 compact city car and the 2008, a derivative of that vehicle, will help it keep market share in Europe.

Vinci rose 3.9 percent to 37.60 euros. Berenberg initiated coverage of Europe's largest builder with a buy rating, saying that the company's size, balance sheet and technical expertise give it a competitive advantage over its European peers.

Icade SA advanced 3.1 percent to 60.19 euros. UBS AG raised its recommendation on the company to buy from neutral, with analysts led by Kristian Bandy saying the shares look cheap before a court ruling this week on the office landlord's takeover of Silic SA.

West Texas Intermediate oil advanced for a second day as U.S. durable goods orders gained more than forecast in May and on expectations that crude stockpiles fell last week.

Prices increased as much as 1 percent as bookings for goods meant to last at least three years climbed 3.6 percent, the Commerce Department said in Washington. Crude inventories probably shrank by 1.5 million barrels, a survey showed before a government report tomorrow. World oil demand will rise in the second half of this year as economic growth continues to recover, Goldman Sachs Group Inc. said today.

Crude supplies probably dropped 1.75 million barrels to 392.4 million in the week ended June 21 as refiners boosted gasoline production to meet rising demand, the survey showed.

Refineries probably operated at 89.6 percent of capacity as of June 21, up 0.3 percentage point from the prior week. That would be the highest level since Dec. 28.

The Energy Information Administration is scheduled to release its weekly petroleum report at 10:30 a.m. tomorrow.

Demand for gasoline rose 2.2 percent in the week ended June 14 to 8.84 million barrels a day, the EIA, the Energy Department’s statistical arm, said last week. Total petroleum consumption increased 2.8 percent to 18.4 million.

WTI for August delivery climbed 53 cents, or 0.6 percent, to $95.71 a barrel at 11:37 a.m. on the New York Mercantile Exchange. The volume of all futures traded was 74 percent higher than the 100-day average. Prices have slipped 1.6 percent this quarter, curbing their gains in 2013 to 4.2 percent.

Brent for August settlement increased 67 cents, or 0.7 percent, to $101.83 a barrel on the London-based ICE Futures Europe exchange. Volume was 17 percent below the 100-day average. Brent’s premium to WTI widened to as much as $6.35 a barrel from yesterday’s $5.98, the least since January 2011.

Gold prices decline moderately amid fears related to the reduction incentive program the Fed and cash deficit in China.

Prices rose in trading in Asia at the beginning of the day thanks to the comments of the two Fed officials who rejected the possibility of immediate termination of incentives, but the lack of interest from buyers and general uncertainty have caused the decline in prices.

HSBC Bank on Monday lowered price forecasts for gold in 2013-2014, taking into account the intentions of the Fed to reduce the volume of buying up bonds and weak prospects for economic growth in China. Credit Suisse has also lowered forecasts on Tuesday.

Futures in Shanghai on Tuesday fell 0.3 percent, pointing to weak demand in the market, ranked second in the world in consumption of gold after India. Demand in India is also reduced, as the government in an effort to reduce the trade deficit increased the import duty on gold.

Slowing Chinese economy may limit the ability of investors to buy precious metals. In addition, insufficient supply of credit in the financial system may force banks to sell the metal to get cash.

Investors also sold precious metals, based on the fact that the U.S. economy is stabilizing prompt the U.S. Federal Reserve cut the incentive program, which is now being spent every month $ 85 billion. The yield on 10-year U.S. Treasury bonds on Monday hit its highest level in nearly two years. Precious metals, which do not yield usually attract the attention of investors in times of low interest rates.

Bank Goldman Sachs on Monday lowered its forecast for gold prices this year and next, citing the improved outlook for the U.S. economy.

The analysts of the investment bank now expects gold will finish this year at $ 1,300 per ounce, which is 9.4% lower than the previous forecast. According to the bank, at the end of 2014 gold will trade at $ 1,050 an ounce, which is 17.3% lower than the previous forecast.

Analysts at BNP Paribas also downgraded its forecast and now believe that the average price this year will be 1405 dollars per troy ounce, which is 11% lower than the previous forecast. Although bond yields in the United States remains low by historical standards, "its growth is still contributing to the negative attitude" to gold, they said.

Stocks of the world's largest exchange-traded fund backed by gold (ETF) SPDR Gold Trust on Monday fell by 0.43 percent to 985.73 tonnes - the minimum level in more than four years.

The cost of the August gold futures on COMEX today dropped to 1270.70 dollars an ounce.

EUR/USD $1.3000, $1.3180, $1.3220, $1.3250, $1.3300

USD/JPY Y97.50, Y98.00, Y98.75, Y99.00

EUR/JPY Y127.00

CBP/USD $1.5400

EUR/CBP £0.8525

USD/CHF Chf0.9200, Chf0.9350, Chf0.9400

AUD/USD $0.9150, $0.9200, $0.9300, $0.9405, $0.9500

U.S. Stocks futeres rose thanks to more good news about the housing market in the U.S. and an ease in concerns about China's credit problems.

Global Stocks:

Nikkei 12,969.34 -93.44 -0.72%

Hang Seng 19,855.72 +41.74 +0.21%

Shanghai Composite 1,959.51 -3.73 -0.19%

FTSE 6,094.02 +64.92 +1.08%

CAC 3,644.93 +49.30 +1.37%

DAX 7,808.86 +116.41 +1.51%

Crude oil $95.93 +0.79%

Gold $1281.40 +0.34%

Upgrades:

Downgrades:

Other:

Boeing (BA) was reiterated at Buy at Argus; target raised from $102 to $115

Apple (AAPL) was reiterated at Outperform at Oppenheimer; target lowered from $480 to $460

Data

08:30 United Kingdom BBA Mortgage Approvals April 32.2 33.1 36.1

09:00 United Kingdom BOE Gov King Speaks

09:00 United Kingdom BOE Chief Economist Spencer Dale Speaks

09:00 United Kingdom MPC Member Dr Ben Broadbent Speaks

09:00 United Kingdom MPC Member Weale Speaks

09:00 United Kingdom Inflation Report Hearings Quarter I

11:30 Switzerland Gov Board Member Fritz Zurbrugg Speaks

The euro exchange rate fluctuates against the dollar, as many market participants are in the publication of U.S. data on orders for durable goods and new home sales. Note that after a significant drop in March, orders for durable goods rose in April by 3.3%. The increase in orders was noted in all categories, but most of the increase was due to a significant growth in the sector of defense and civilian aircraft orders. However, over the past couple of months, orders for durable goods excluding volatile transportation and defense sector showed a slight growth. We also add that recent studies have shown that the ISM manufacturing index came in May, to the territory of reduction, and the main components showed weakness.

As for the other report, it is worth adding that sales of new homes continued to learn the dynamics of sales of existing homes. Add that with the reduction of the number of problem transactions, it is clear that many potential buyers are looking to build new homes. The data showed that new home sales rose in April by 2.3%, which followed a similar rise in March. In addition, it was reported that the level of sentiment among builders finally moved above the threshold, which indicates that more builders assess the current conditions as "good" than "bad". Recall that it was the first time since April 2006, when the index rose above that mark. In addition, today it was announced today that Spain held an auction on state debt, during which it was sold to the third nine-month bonds worth 3.07 billion euros, higher than the maximum target. The country sold a 9-month bonds worth 2.14 billion euros at yield 1.441% vs. 0.789% previously, and 3-month bonds worth 0.93 billion euros at yield 0.869% vs. 0.331% previously.

The yen rose, retreating from a two-week low against the U.S. dollar lower against the two-day Asian shares and the liquidity problems of Chinese banks. Recall that at the end of last week due to the lack of liquidity rate of one-day and weekly repo interbank lending rose to its highest level in five years, reaching the historic mark June 20 in 13.44%. Yesterday, the People's Bank of China has warned the country's banks on the need for greater control over their own liquidity, as well as on its risks. In this regard, Goldman Sachs analysts downgraded China's GDP growth forecast for 2013 from 7.8% to 7.4%, citing weaker macro-economic indicators and the tightening of financial conditions.

Recall that this week will hold a series of speeches by the Fed. Performances by the Federal Reserve Bank of Atlanta President Dennis Lockhart, president of the Federal Reserve Bank of Richmond, Jeffrey Lacker, president of the Cleveland Fed President Sandra Pianalto and San Francisco Fed John Williams.

Value of the pound was higher against the U.S. dollar, which has been associated with the speeches of the representatives of the Bank of England, as well as the publication of the data.

Note that the report of the British Bankers' Association showed that the number of approved applications for mortgage loans increased significantly in May, thereby exceeded the forecasts of most experts, since the scheme lending contributed to the entry of those first decided to buy a home.

According to a report on the results of May, the number of approved applications for mortgage loans aimed at buying a home has increased to the level of 36,102, compared with 32,952 in the previous month. It is worth noting that according to the average forecasts of experts the value of this index would grow to the level of 33100.

In addition, it was reported that the total number of mortgage approvals rose in May to the level of 65,752, compared with 61,262 a month ago.

In the British Bankers Association also reported that the increase in the number of permits for house purchase continued its upward trend, which is celebrated from the beginning of this year. Meanwhile, it was noted that the assistance from the scheme of mortgage lending is expected to continue to attract more and more new buyers into the housing market.

EUR / USD: during the European session, the pair fell from $ 1.3151 to $ 1.3110

GBP / USD: during the European session, the pair is trading in the range of $ 1.5423-$ 1.5472

USD / JPY: during the European session, the pair fell to Y96.93

At 12:30 GMT the United States will announce a change in orders for durable goods in May. At 13:00 GMT the U.S. will release the index of home prices in 20 major cities S & P / Case-Shiller in April, as well as a national composite house price index S & P / CaseShiller for April. At 14:00 GMT the United States will present an indicator of consumer confidence in June, and will announce the amount of sales in the primary market in May.

EUR/USD

Offers $1.3235/40, $1.3200/10, $1.3175/80, $1.3160/65

Bids $1.3100, $1.3074, $1.3030-20, $1.3000

GBP/USD

Offers $1.5565/70, $1.5550, $1.5530/35, $1.5495/500, $1.5480

Bids $1.5420, $1.5405/00, $1.5380/70, $1.5345/40, $1.5330

AUD/USD

Offers $0.9370/75, $0.9350, $0.9325, $0.9300

Bids $0.9220, $0.9200, $0.9180/75, $0.9150

EUR/GBP

Offers stg0.8595/600, stg0.8575/80, stg0.8542, stg0.85125

Bids stg0.8485/80, stg0.8475/70, stg0.8465/60, stg0.8445/40, stg0.8420

EUR/JPY

Offers Y129.21/39, Y128.95/00, Y128.80, Y128.45/50, Y128.00

Bids Y127.10/00, Y126.50, Y126.20, Y126.00

USD/JPY

Offers Y98.65/70, Y98.35/40, Y98.05/10, Y97.94, Y97.60/65

Bids Y96.90/85, Y96.80, Y96.20, Y96.00

European stocks climbed from a six-month low as the People's Bank of China allayed concern over a cash crunch and investors awaited reports that may show U.S. durable-goods orders and sales of new homes increased. U.S. index futures also advanced, while Asian shares slid.

The Stoxx Europe 600 Index increased 1.2 percent to 278.87 at 10:14 a.m. in London. The benchmark gauge entered a correction yesterday, having slumped more than 10 percent since May 22, when Federal Reserve Chairman Ben S. Bernanke commented on the possibility of paring bond purchases.

The Stoxx 600 is heading for a loss in June of 7.3 percent, its biggest monthly drop since August 2011.

China's stocks fell after posting the biggest swings in 22 months as the Shanghai Composite Index reached a four-year low and investors speculated the government will take steps to bolster financial markets. Liquidity risks in China's financial markets are controllable and seasonal forces affecting interest rates will fade, Ling Tao, deputy director of the Shanghai branch of the People's Bank of China, said at a briefing in Shanghai after the market close. The central bank will closely monitor the money-market rate and keep it at reasonable levels, he said.

U.S. durable-goods orders grew 3 percent in May after rising a revised 3.5 percent the prior month, economists projected before a report from the Commerce Department at 8:30 a.m. in Washington. Separate data due at 10 a.m. may show sales of new homes rose to a 460,000 annualized pace last month, the highest since July 2008, according to the survey median.

Peugeot rallied 5.1 percent to 6.12 euros. Europe's second-largest carmaker said it has received more than 26,000 orders in Europe for the 2008-model crossover. Peugeot is betting that the new 208 compact city car and the 2008, a derivative of that vehicle, will help it keep market share in Europe.

Vinci rose 3.9 percent to 37.59 euros. Berenberg initiated coverage of Europe's largest builder with a buy rating, saying that the company's size, balance sheet and technical expertise give it a competitive advantage over its European peers.

Icade SA advanced 2.7 percent to 59.96 euros. UBS raised its recommendation on the company to buy from neutral, with analysts led by Kristian Bandy saying the shares look cheap before a court ruling this week on the office landlord's takeover of Silic SA.

FTSE 100 6,083.54 +54.44 +0.90%

CAC 40 3,641.34 +45.71 +1.27%

DAX 7,806.44 +113.99 +1.48%

Asian stocks fell as China's Shanghai Composite Index (SHCOMP) slumped more than 20 percent from a February high, sinking deeper into a bear market, amid concern a cash crunch will curb growth in the world's second-largest economy.

Nikkei 225 12,969.34 -93.44 -0.72%

Hang Seng 19,849.28 +35.30 +0.18%

S&P/ASX 200 4,656 -13.14 -0.28%

Shanghai Composite 1,960.23 -3.00 -0.15%

Jiangxi Copper Co., China's biggest producer of the metal, sank 2.8 percent in Hong Kong.

Newcrest Mining Ltd. fell 2.4 percent after Australia's No. 1 gold producer cut jobs at its Lihir mine in Papua New Guinea.

Guangzhou Shipyard International Co., a unit of China's largest shipbuilder, plunged 17 percent after announcing plans to sell shares and buy a shipyard.

The yen advanced from near a two-week low versus the U.S. dollar as Asian stocks slumped for a second day amid concern a cash crunch in China will curb economic growth, supporting demand for haven assets. Goldman Sachs Group Inc. and China International Capital Corp. yesterday joined banks from Barclays Plc to HSBC Holdings Plc in paring growth projections for China this year. The cuts followed a tightening in central bank liquidity that yesterday left the overnight repurchase rate more than double the year's average.

The yen strengthened for a second day with a host of U.S. central bankers scheduled to speak this week after two Federal Reserve presidents yesterday emphasized that policy remains accommodative. The dollar retraced some gains yesterday after Dallas Fed President Richard Fisher said investors shouldn't overreact to the central bank's plan to slow bond purchases. Minneapolis Fed President Narayana Kocherlakota said to reporters in a conference call that the central bank must emphasize that policy will remain accommodative "for a considerable time" after the end of quantitative easing. This week will see speeches from Fed Bank of Atlanta President Dennis Lockhart, Richmond Fed President Jeffrey Lacker, Cleveland Fed President Sandra Pianalto and San Francisco Fed President John Williams.

The Dollar Index held a four-day gain before reports that economists said will show durable-goods orders rose and house prices increased. U.S. durable-goods orders probably increased 3 percent in May after rising a revised 3.5 percent the previous month, according to a Bloomberg News survey of economists before the Commerce Department report today. The S&P/Case-Shiller index of home values for 20 cities climbed 10.6 percent for the year ended April after a 10.9 percent gain in March that was the biggest since 2006, a separate survey showed.

EUR / USD: during the Asian session the pair traded in the range of $ 1.3110/35

GBP / USD: during the Asian session the pair fell to $ 1.5425/55

USD / JPY: during the Asian session the pair traded in the range of Y97.25/05

There is a heavy calendar Tuesday, with data on both sides of the Atlantic and a slew of European central bank speakers on the schedule. The calendar gets underway at 0600GMT, with the release of the latest German construction orders data. There is a raft of French data released at 0645GMT, with The French June business climate indicator, along with the manufacturing and service sector sentiment indices due. The Business confidence Indicator is expected to tick up to 93 from May's 92. Also at 0645GMT, French May housing starts/permits data will be published. At 0700GMT, Spanish May PPI numbers will be released, and are seen up 0.1% on month, but down 0.3% on year.

Resistance 3: Y99.30 (Jun 10 high)

Resistance 2: Y98.60 (Jun 24 high)

Resistance 1: Y98.05 (session high)

Current price: Y97.48

Support 1: Y96.85/97.20 (Jun 21 and 24 lows)

Support 2: Y95.95/96.20 (Jun 20 low, MA (200) H1)

Support 3: Y94.80 (Jun 19 low)

Resistance 3: Chf0.9420 (Jun 10 high)

Resistance 2: Chf0.9375 (Jun 24 high)

Resistance 1: Chf0.9345 (session high, MA (200) D1)

Current price: Chf0.9333

Support 1: Chf0.9310 (Jun 24 low)

Support 2: Chf0.9240/55 (Jun 21 low, MA (200) H1)

Support 3: Chf0.9180 (Jun 19 low)

Change % Change Last

GOLD 1,276.80 -14.80 -1.15%

OIL (WTI) 94.95 1.26 1.34%

Nikkei 225 13,062.78 -167,35 -1,26%

Hang Seng 19,778.02 -485,29 -2,39%

S & P / ASX 200 4,669.1 -69.70 -1.47%

Shanghai Composite 1,963.24 -109,86 -5,30%

FTSE 100 6,029.1 -87.07 -1.42%

CAC 40 3,595.63 -62.41 -1.71%

DAX 7,692.45 -96.79 -1.24%

DJIA 14,659.60 -139.84 -0.94%

S&P 500 1,573.75 -18.68 -1.17%

NASDAQ 3,320.76 -36.49 -1.09%

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

EUR/USD $1,3123 -0,78%

GBP/USD $1,5435 -0,44%

USD/CHF Chf0,9335 +0,70%

USD/JPY Y97,72 +0,39%

EUR/JPY Y128,24 -0,36%

GBP/JPY Y150,81 -0,03%

AUD/USD $0,9251 +0,51%

NZD/USD $0,7753 -0,14%

USD/CAD C$1,0501 +1,16%

Resistance 3: $ 1.5585 (MA (200) H1)

Resistance 2: $ 1.5530 (Jun 21 high)

Resistance 1: $ 1.5465 (Jun 24 high)

Current price: $ 1.5437

Support 1: $ 1.5340/65 (Jun 24 low, MA (200) N4)

Support 2: $ 1.5235/70 (European session on Jun 3 and Jun 4 lows)

Support 3: $ 1.5140 (May 31 low)

Resistance 3: $ 1.3290/1.3305 (MA (200) H1, high of the Asian session on Jun 20)

Resistance 2: $ 1.3255 (Jun 21 high)

Resistance 1: $ 1.3145 (Jun 24 high)

Current price: $ 1.3115

Support 1: $ 1.3040/55/80 (Jun 4 and 24 low, MA (200) N4)

Support 2: $ 1.2940/50 (May 30 and Jun 3 lows)

Support 3: $ 1.2915 (low of the American session on May 29)

08:30 United Kingdom BBA Mortgage Approvals April 32.2 33.1

09:00 United Kingdom BOE Gov King Speaks

09:00 United Kingdom BOE Chief Economist Spencer Dale Speaks

09:00 United Kingdom MPC Member Dr Ben Broadbent Speaks

09:00 United Kingdom MPC Member Weale Speaks

09:00 United Kingdom Inflation Report Hearings Quarter I

11:30 Switzerland Gov Board Member Fritz Zurbrugg Speaks

12:15 Eurozone ECB President Mario Draghi Speaks

12:30 U.S. Durable Goods Orders May +3.3% +3.0%

12:30 U.S. Durable Goods Orders ex Transportation May +1.3% -0.1%

12:30 U.S. Durable goods orders ex defense May +2.1%

13:00 U.S. Housing Price Index, y/y April +1.3% +1.2%

13:00 U.S. Housing Price Index, y/y April +7.2%

13:00 U.S. S&P/Case-Shiller Home Price Indices, y/y April +10.9% +10.6%

14:00 U.S. Consumer confidence June 76.2 75.6

14:00 U.S. New Home Sales May 454 462

20:30 U.S. API Crude Oil Inventories June -4.3

21:00 U.S. Treasury Sec Lew Speaks