01:00 China Manufacturing PMI (May) 52.0
01:30 Australia Gross Domestic Product (YoY) (Q1) 1.0%
01:30 Australia Gross Domestic Product (QoQ) (Q1) -1.2%
The dollar fell to a three-week low against the euro before reports likely to show U.S. companies hired fewer workers and manufacturing cooled.
The U.S. currency declined against 13 of its 16 most-traded peers before the private ADP Employers Services report is released today, followed by Labor Department figures on June 3.
Australia’s dollar strengthened against all its major counterparts after a government report showed the economy shrank last quarter by less than some analysts forecast.
The Institute for Supply Management’s factory index, due today in the U.S., probably fell to 57.1 last month, the lowest since October, according to the survey median. Readings above 50 signal expansion.
The euro reached the highest level in more than a week against the British pound as concern eased that Greece will default on its debt and on speculation that the European Central Bank will raise interest rates to curb inflation.
Greece is close to an agreement with the European Commission, ECB and the International Monetary Fund on a fiscal plan and privatization program, Kathimerini newspaper reported, citing people close to Prime Minister George Papandreou. Details are expected to be settled by tonight or tomorrow morning, the newspaper said.
EUR/USD: the pair bargained within the limits of $1.4390-$ 1.4440.
GBP/USD: the pair bargained within the limits of $1.6440-$ 1.6480.
USD/JPY: the pair shown low in the field of Y81.10 then become stronger.
This morning also sees the Manufacturing PMI releases due, including the final May readings for France at 0648GMT, Germany at 0653GMT and the main EMU data at 0658GMT all of which are expected to confirm their preliminary readings.
UK data at 0830GMT includes Bank of England lending data as well as the UK Manufacturing PMI data, which is expected to slip to a reading of 54.1.
There is a raft of US data due at 1400GMT, including the May ISM Index, Construction Spending and the latest Help-wanted Online data. The ISM manufacturing index is expected to fall to a reading of 58.0 in May from 60.4 in April.
Construction spending is expected to rise 0.1% in April after the surprise 1.4% gain in March. Housing starts fell sharply in the month, so residential construction is expected to slow after surging in March on remodeling.
US data starts at 1100GMT with the weekly MBA Mortgage Application Index, which is followed at 1130GMT by Challenger Layoffs and then at 1145GMT by the weekly ICSC-Goldman Store Sales data. Also today in the US, domestic-made light vehicle sales are expected to slow to a 9.7 million annual rate in May after the slight improvement in April. The seasonal adjustments factors for May tend to be one of the strictest, so raw sales will need to be strong to keep the seasonally adjusted selling rate steady or rising. US data continues with the 1215GMT relesae of the latest ADP National Employment Report.