German index on prices on import increased by 8% on an annual basis last year, reported Destatis. This was the largest increase in price in the last 11 years. The index soared 3.9% in December on monthly basis. At the same time, export prices edged up 3.7% on a yearly average basis in 2011.
New home sales in the US declined by 2.2% in December, reported US Census Bureau. The new home sales declined to 307,000 units on a seasonally adjusted basis while analysts expected the sales to rise by 2% to 320,000 units. Following the data release, the US Dollar inched lower against the Euro and the pair EUR/USD gained 0.44% to 1.3165.
George Osborne, Chancellor of the Exchequer has proposed several laws, giving the exclusive right of bailing out banks to Treasury. Osborne is attempting to put through these law changes in order to sweep away any doubt on the institution responsible for crisis solutions.
Swiss KOF economic barometer decreased more than expected, announced by KOF Economic Research Agency. The economic barometer declined to minus 0.17 in December on a seasonally adjusted basis from 0.01 in November. Experts predicted the indicator to inch down to minus 0.06 in December.
After publication of December retail sales data, analysts are viewing the developments in the Japanese economy more positively. Although consumer appetite is obviously rising, the risk of declining employment and incomes still remains, analysts from Itochu Corp. claimed today.
Daily maximum: 1.3159
Daily minimum: 1.3078
The shared European currency depreciated versus the American dollar today and pierced the daily forecast mean (1.3122) the EU annual M3 money supply was released lower than expected (1.6% act./2.2% est.). Daily Resistance: 1.3164; 1.3220; 1.3257. Daily Support: 1.3071; 1.3034; 1.2978. Daily Bias: Strongly bullish.
Daily maximum: 101.53
Daily minimum: 100.64
EUR/JPY moved downwards today, missing the daily market participants’ target (101.66) as the annual retail sales rose (2.5% act./2.3% est.). Daily Resistance: 102.01; 102.50; 102.80. Daily Support: 101.22; 100.92; 100.43. Daily Bias: Strongly bullish.
Daily maximum: 1.5729
Daily minimum: 1.5652
The British pound rose versus the American dollar after on announcement Greece is close to get the debt deal, piercing the daily forecast mean at 1.5689. Daily Resistance: 1.5734; 1.5780; 1.5824. Daily Support: 1.5644; 1.5600; 1.5554. Daily Bias: Strongly bullish.
Daily maximum: 77.46
Daily minimum: 76.75
USD/JPY declined on Friday after Japanese annual retail sales rose more-than-forecast (2.5% act./2.3% est.), leaving the daily market participants’ target (77.49) intact. Daily Resistance: 77.74; 78.03; 78.26. Daily Support: 77.22; 76.99; 76.70. Daily Bias: Strongly bullish.
Daily maximum: 0.9228
Daily minimum: 0.9176
The pair traded below 0.9200 level today as the US advange GDP disappointed investors (2.8% act./3.0% est.). Daily Resistance: 0.9235; 0.9268; 0.9307. Daily Support: 0.9163; 0.9124; 0.9091. Daily Bias: Bearish.
EU, IMF press Greece on reforms before aid flows
The European Union and IMF want Greece to push through more budget cuts and implement a series of long-agreed austerity reforms before they agree on a new bailout the country needs to avert bankruptcy, a report obtained by Reuters shows.
U.S. Economy Grows 2.8%, Less Than Forecast
The U.S. economy expanded less than forecast in the fourth quarter as consumers curbed spending and government agencies cut back, validating the Federal Reserve’s decision to keep interest rates low for a longer period.
Japan Consumer Prices Fall, Mild Deflation to Persist
Japan’s core consumer prices fell for the third consecutive month in the year to December due to weak demand, showing mild deflation is likely to persist this year as energy prices stabilize and worries about Europe’s debt crisis suppress wage growth.