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Euro / dollar today strengthened to 1.4930 to 1.4969, thus reaching a new high. But then the European currency began a sharp decline, falling to the level of 1.4843. In the American session, the euro has adjusted and is now trading at 1.4925. Decline of the euro contributed to the publication of a number of macroeconomic indicators. Consumer price index of E16 in September did not change in monthly terms, while analysts predicted an increase of 0,1% in the previous period growth rate of 0,3%. Consumer Price Index in annual terms amounted to -0,3% (-0,3% forecast of experts, the previous value of -0,3%). Net CPI of E16 for September amounted to 1,2% in annual terms (analysts’ forecast of 1,2%, the value of the previous period 1,3%).

Pound / dollar showed an impressive rally today, entrenched by nearly 300 points. P 1.6002 currency rose to 1.6299. Now Briton adjusted and traded at 1.6250. As experts note, pound contributed to the growth expectations that the Bank of England could finish the program purchase of assets.

Dollar / yen has appreciated to 89.33 to 90.62. Reduction of the yen contributed to the revised macroeconomic indicators. Industrial Production (Industrial Production) in Japan in August, according to final figures, fell by 19% in annual terms (preliminary data reduction was 18,7%). In monthly terms, rate, according to final data, increased by 1.7% (provisional figure of 1.8%). Euro / yen strengthened to 133.39 to 135.23. Rally demonstrated, and the pound / yen, from 142.89 to entrenched 147,50.

Index fell 75.36 to the dollar in the Asian session to 75.18, reaching new lows since August 2008, but then strengthened to 75.70. U.S. Consumer Price Index in September rose by 0,2% in monthly terms (analysts’ forecast of 0,2%, the value of the previous month, 0,4%). In annual terms, CPI fell by 1.3% (analysts predicted value of -1.4% in the previous period, -1.5%). Consumer price index excluding food and energy rose in September in monthly terms by 0,2% (0,1% forecast of analysts, the value of the previous period 0,1%). The same indicator in the annual rate increased by 1,5% (experts predicted value of 1.4% in the previous period, 1,4%). As analysts note, low inflation confirms the statements of the Federal Reserve of a moderate monetary incentive effects on consumer prices. This gives the Federal Reserve more flexibility in the timing of raising interest rates.

In Asia, the Nikkei 225 closed with increase on 1,77%, HangSeng at 0,51%, Shanghai Composite at 0.31%. In Europe, the FTSE100 fell by 0,63%, DAX at 0,4%. The American share platforms falling. DJIA fell by 0,1%, S & P500 to 0,1%, NASDAQ Composite at 0.32%. Gold spot today, down from 1062.3 to 1046.4 level, thereby dynamically adjusted after the rally. Oil on the NYMEX has risen in price on 2,63%, is trading at 77.16 dollars per barrel.

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  • Forex Market Report October 13

    Euro / dollar today from 1.4779 to 1.4761 has been declining, but then strengthened to 1.4882, which is a new high since August 2008. Adjusted to 1.4796, the European currency is now trading at 1.4830. Euro Rally could prevent even find themselves worse than expected economic performance. Consumer price index in France in September fell by 0,4% in annual terms, while analysts predicted value of -0.2% in the previous period of -0.2%. In monthly terms, CPI fell by 0.2% (-0.1% forecast of experts, the value of the previous month, 0,5%). Current Account of France in August amounted to -3.7 billion euro (in the previous period -1.2 billion). Economic sentiment indicator (Economic Sentiment) from Germany ZEW for October amounted to 56,0 (58,8 experts put the figure in the previous month value of the indicator stood at 57.7). Indicator assessment of the current situation (Current Situation) from Germany ZEW for October amounted to -72.2 (-69 the forecast of analysts, the previous -74). Indicator of economic sentiment of E16 from the ZEW for October was 56.9, while analysts predicted value of 61.2, the value of the previous period, 59,6. As noted by analysts, traders used a short-term reduction in the euro after the negative reports as an opportunity to buy the currency. However, weak data from the Center for European Economic Research ZEW express concern that the pace of recovery may slow.

    Pound / dollar 1.5800 in the Asian session, declined to 1.5702, but then showed steady growth, reaching a level of 1.5899. Consumer Price Index UK for September did not change in monthly terms (analysts predicted an increase of 0,3%, the value of the previous period 0,4%). Consumer Price Index in annual terms amounted to 1,1% (1,3% analysts’ forecast, the previous value of 1.6%). Housing prices from DCLG for August fell by 5,6% in annual terms (analysts forecast a decline of 4,9%, the value of the previous period -8,3%).

    Dollar Index rose from 76.12 to 76.27, then dropped to 75.72, thereby updated lows since August 2008. Experts note that the dollar’s decline contributed to rising prices for oil and gold. The noble metal is updated today historical highs, reaching a level of 1067.5.

    Yen / dollar increased to 89.78 from 90.18, dropped to 89.44. Euro / yen rose to 132.68 from 133.22. Pound / yen has fallen to 141,87 to 141,20, rose to 142.66. In Asia, the Nikkei 225 closed higher at 0,6%, HangSeng at 0,79%, Shanghai Composite at 1.44%. In Europe, stock markets fell on the background of negative macroeconomic indicators. FTSE 100 fell by 1,08%, DAX at 1.19%. U.S. markets can not determine the direction. DJIA fell by 0,09%, S & P500 at 0,24%, NASDAQ Composite increased by 0.09%. Oil on the NYMEX has risen in price on 0,78%, is trading at 73.84 dollars per barrel.

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