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The Swiss franc strengthened against the dollar, responding thus on the statements of the head of the SNB

December 13, 2013, Friday, 11:51 GMT | 06:51 EST | 16:21 IST | 18:51 SGT
Contributed by Forex-Metal

Asian and European trading sessions:

Euro: The euro traded mixed as the reaction to the publication of the monthly economic report from the ECB and the statements of the head of the ECB Draghi .The ECB confirmed that due to the prevailing downside risks, the monetary policy will remain accommodative as much as needed to support the economy in the euro zone. This year, the euro zone’s GDP is expected to reach 0.4%, and in 2014 and 2015 at around 1.1 % and +1.5 %, respectively. According to the Central Bank, the euro zone could face a long period of low inflation, followed by acceleration to a level close to the target, namely 2%. The EUR / USD pair fell to $ 1.3760, but later came back to $ 1.3785 during the European session.

British Pound: The pound rose sharply against the dollar, helped by data from the Conference Board, which showed that the leading indicator for the British economy grew in October, registering with the fourth monthly increase in a row, but in a lesser degree than in the previous month, indicating moderate economic growth in early 2014. According to the report, the leading economic index increased in October by 0.4 % on a monthly basis, thus reaching the level of 108.4 points. At the same time the index, which measures current economic situation, rose 0.1 % to 105.2 points, after increasing 0.2 % in September. The GBP / USD pair rose to $ 1.6420.

Swiss franc: The currency strengthened against the dollar, responding thus to solve the SNB and statements of the head of SNB Jordan." The Swiss economy is still facing problems due to lack of growth momentum in the euro area, and the growth is likely to decline in the last quarter of this year," said the president of the Swiss National Bank Thomas Jordan today. "The economy has developed favorably in the third quarter, but given the weak economic situation abroad, the risks continue to dominate in Switzerland” - Jordan said at a news conference. The Swiss central bank reiterated its earlier position to prevent the Swiss franc falling below 1.20 francs per euro, promising to buy foreign currency in unlimited quantities, and to take additional measures if necessary. The Swiss National Bank as it was expected by most economists, kept its key interest rate in the range of 0% - 0.25 % for 10 - consecutive quarter.

American trading session:

U.S. Dollar: The U.S. dollar rose against major currencies on the back of strong retail sales data in the U.S. The key to the U.S. economy holiday sales season started on a positive note: in November retail sales rose by 0.7% compared with the previous month, which is slightly higher than economists' forecasts for a rise of 0.6%. Compared with the same period last year, the retail sales in November rose 4.7 %. According to experts, the published data supplemented piggy encouraging news regarding the U.S. economy, which contributed to enhanced solutions for speculation the U.S. Federal Reserve next week to start folding bond-buying program, which now consumes 85 billion U.S. dollars monthly. At the same time, the latest data from the Department of Labor showed that the number of people who applied for the first time unemployment benefits rose sharply last week. However, experts note that the Thanksgiving Day holiday could distort the data. According to the report, the number of initial claims for unemployment insurance rose to a seasonally adjusted 68,000 in the week ended Dec. 7, at the same level reached 368,000. Add that it was the biggest jump in this indicator over a year. Economists forecasted that the number of complaints rise to the level of 321000 to 298000 , which was originally reported last week.

Canadian dollar: The index for new homes rose in Canada in October was weaker than expected. The index on the primary market rose in October by 0.1 %, while economists had expected prices to rise 0.3%. . The USD / CAD pair rate raised more than half the figure, updating the session high, which was a reaction to this weak report.

Gold: Gold prices decline amid falling stock markets and a rise in the dollar because of the fear reduction incentives Fed soon. Cost February gold futures on the COMEX today dropped to $ 1224.20 per ounce.

Oil: The cost of oil brand West Texas Intermediate rose moderately after data showed that U.S. retail sales rose by strengthening economic outlook largest oil consumer in the world. The price of January futures rose to $ 98.20 a barrel on the New York Mercantile Exchange.