Euro worry about Global Growth

Euro worry about Global Growth. Euro knocked off 11-month highs versus the U.S. dollar after data showed Italian industrial orders declined and rising bad loans in Spain, which supports the expectation that the economy will be difficult to expand the area in 2013. Concerns about global growth also helped weigh on the euro after China, the second biggest economy in the world, showed moderate economic growth in 2012.

Yen 'Nervous' Ahead of BoJ Meeting

The yen continues to trade around its weakest level versus the 31-month U.S. dollar as investors try to anticipate the aggressive steps that might be taken the Bank of Japan earlier this week. Analysts believe that if the depreciation of the yen would go back to continue if the BoJ's decision to prevent deflation could exceed market expectations. A source close to the BoJ said that if the central bank is considering asset purchases to boost inflation close to 2%. "Many have tried to anticipate the outcome of the BoJ later. BoJ decision to launch unrestricted asset purchases will be catapulted dollar / yen and euro / yen," said Peter Kinsella, currency analyst at Commerzbank.

Poor Retail Sales, Sterling slumped

Pound slumped to the lowest level against the greenback 8-week retail turnover after data weaker than expected added to worries about the British economy being depressed. Retail sales in December fell 0.1% in December, which dispelled predictions of a 0.2% rise economists. Sterling sentiment was also hit by uncertainty over the relations between the UK and the European Union, which is Britain's biggest trading partner. Lee Hardman, currency analyst at Bank of Tokyo with Mitsubishi. "Grim to the future of British membership in the European Union also helped erode short-term sentiment Sterling. Bias so that the British currency is still weak."

'America Still Shadowed Deficit Problem'

'America Still Shadowed Deficit Problem'. Today Analysis :

USD / JPY: Test Resistance At 87.76, Shot 88.00 - 88.26
EUR / USD: Bearish Under Pressure, Test Support At 1.3018
USDCHF: Signal Still Samar, Watch Movement Price in range 0.9249 - 0.9299
USDCHF: GMMA, MACD Stochastics Vs, Watch Area 0.9195 - 0.9233 For Testing
GBP / USD: 1.6259 When Broken, Watch 1.6305 - 1.6379

Although fiscal cliff resolution has been reached, there are still many who doubt its effectiveness in balancing the state balance sheet. No exception to some members of the senate, which in fact directly involved in the process of fiscal voting a few days ago. To CNBC, Senator Richard Shelby said that he voted in denial fiscal cliff deal in voting because it has its own reasons. Shelby consider a resolution today only lead to a new crisis for the U.S. in less than 8 weeks. Opinions Shelby referring to the fact that the new rules have been signed into law is just 'suspend' budget cuts over the past two months. Therefore, the required new negotiations between President Barack Obama and Republican leaders to reduce government spending and the national deficit.

"I just feel this process will be more severe and the president should absolutely get involved in it," Shelby said in a CNBC program Squawk Box. Prominent Republicans origin Alabama region is estimated components of the negotiations will only touch a few secondary policies such as pension reform and review of benefit citizens by means of calculations Chained Consumer Price Index. President Obama had long ago insisted that it rejects all discourse on government debt reduction in fiscal negotiations. "Obama's statement is not a statute and could change," said Shelby. The decision to determine whether the state debt limit of $ 16.4 trillion should be determined as soon as possible.

Market players certainly have not forgotten how to serial debt ceiling debate between President Obama and Republicans have produced downgrade the U.S. credit rating by Standard & Poor's. Some time ago, the rating agency also affirmed it would not change its assessment of U.S. credit ranking for the current fiscal cliff although the deal has been reached. While other agencies, Moody's Investors Service, warned Washington to make a breakthrough to reduce the deficit. If the problem is not funding led to a new deal, the government is threatened with bankruptcy in March. And it is not possible rating downgrade re-raised by the three major rating agencies in the coming months.

German Retail Sales Strong in November

The German retail sales data released better than expected in November 2012 (adjusted). According to data released by the Central Statistics Destatis today, retail sales rose 1.2% month after adjusting for seasonal conditions, calendar days and inflation. The figure beat expectations of a monthly growth rate of 0.8% (Dow Jones Newswires survey of analysts). Destatis also revealed that there is a possibility the data was revised up due to adjustments in the estimation study. The ratio of rise in retail sales in November was almost redeemed decline in October which reached 1.3%.

Meanwhile, if viewed on an annual basis, retail sales fell 0.9% and sales year-to-date has not changed. Destatis also estimated retail sales for the full year 2012 ranged between 0.1% and 0.3% below the previous record year. The euro exchange rate is currently perched at the level of 1.3012.