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Euro holds tight against the yen and the dollar due to the lack of important economic data that could affect the course of trading. Add that could have a small impact report, which showed that the trade surplus currency bloc of 17 countries in April was below the record high. Trade data showed that in April, the euro zone recorded a positive balance of foreign trade in goods in the amount of 14.9 billion euros (19.9 billion dollars), as the region's exports exceeded imports. Although this is a surplus above the level of 3.3 billion euros, recorded in April 2012, it is well below the record high of 22.5 billion euros achieved in March. Total exports in April amounted to 161.3 billion euros against 165.6 billion euros in March. Imports in April rose to 146.4 billion euros against 143.0 billion in March. These data indicate that domestic demand is likely increased in the first month of the 2nd quarter, while foreign demand declined.
Value of the dollar sharply higher against the pound, which was a reaction to the U.S. data, which were released by the National Association of Home Builders.
According to the report NAHB, Housing Market Index in June rose to 52, adding 8 points compared to May. It should be noted that this is his biggest leap since the summer of 2002. For the first time since April 2006, the index reached a value greater than 50. Recall that the index value above 50 indicates that the number of companies that positively assessing the conditions for sales, exceeds the number of companies that give a negative assessment. The index has far surpassed the expectations of economists, who had forecast that the index would be 45 in June.
It should also be noted that housing is an important driving force of the economy, making significant contributions to the overall growth every quarter since mid-2011. Moreover, the industry provides a steady source of employment. Recall that new home sales remained near five-year high in the first four months of the year. This is a strong indication of the fact that among Americans is growing optimism about the economy and more and more they are willing to make large investments.
However, the industry is faced with obstacles. Interest rates are rising, making mortgages more expensive. In addition, there are concerns that the Federal Reserve will begin to measures to reduce the stimulus this year.
We add that even with the June increase, the index state of the housing market to be well below historical highs.
The Australian dollar declined significantly against the U.S. dollar, having lost in the course of trade of more than one figure. It should be noted that market participants focused on the publication of reports of the Reserve Bank of Australia, which will be published tomorrow and the meeting of the open market operations at the end of the week, which will be the most important event since the Australian calendar seems pretty loose for the current week.
|remaining time till the new event being published|
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