European session: The euro advanced
07:55 Germany PMI services (September) seasonally adjusted 49.7
08:00 EU(17) PMI services (September) 48.8
08:30 UK CIPS services index (September) 52.9
08:30 UK GDP (Q2) final 0.1%
08:30 UK GDP (Q2) final Y/Y 0.6%09:00 EU(17) GDP (Q2) final 0.2%
09:00 EU(17) GDP (Q2) final Y/Y 1.6%
09:00 EU(17) Retail sales (August) adjusted -0.3%
09:00 EU(17) Retail sales (August) adjusted Y/Y -1.0%
The euro erased a decline versus the dollar as stocks rose amid speculation European policy makers are looking at measures to shield banks from the region’s sovereign- debt crisis, boosting stocks and damping demand for safety.
The common currency pared a loss against the yen even after Moody’s Investors Service cut Italy’s debt rating three levels, citing concern the government will struggle to reduce the region’s second-largest debt levels.
European stocks rose after the Financial Times quoted Olli Rehn, European Union commissioner for economic affairs, as saying there’s an “increasingly shared view” the region needs a coordinated approach to halt the debt crisis.
EUR/USD: the pair restored in $1.3350 area.
GBP/USD: the pair holds in $1.5410-$ 1,5495 area.
USD/JPY: the pair returned to Y76.60 area.
US data starts at 1100GMT with the weekly MBA Mortgage Application Index, which is later followed by the ADP National Employment Report, at 1215GMT. US data continues at 1400GMT when the ISM non-manufacturing index is expected to fall slightly to a reading of 53.2 in September. The weekly EIA Crude Oil Stocks then follows, at 1430GMT.