The weak US housing data of July could weigh on the US stocks which have started retracing some of its recent loses today as the US housing starts of July came down by .1% m/m after increasing by 3.6% in June and also the building permits came down by 1.8% in July after rising by 10% in June as the struggling consuming pace in US in the recent 2 months is still containing the current market sentiment putting pressure on the US indexes after the release of  August University of Michigan Consumer Confidence preliminary reading last Friday which was expected to get better to 68 from 66 in July and it has come down to 63 and these data came a day after the weak US retails sales figures of July which have shown a broadly monthly falling by -.1% and the market was waiting for rising by .3% of this broad figure and the core figure excluding the auto sales which have fallen by -.6%.

The japanese yen came under strong pressure after today release of the US labor report which has shown that the unemployement went down to 9.4$ and the losing of just 247k of July non farm payroll and the market was waiting for 320k and the unemployement to go up to 9.7%. The remarked cheerful thing in this report and the cause of its improving too is the less than expected number of losing jobs of the manfacturing sector which lost just 52k and it was expected to lose 115k. The US Stocks could pare its recent loses because of the weaker than expected services performance and bigger than expected number of lost jobs in the private sector in July earlier this week as we have seen the private sector losing 371k in July while it was expected to lose just 340k while the US July ISM non-manufacturing index came at 46.4 and it was expected to be 48.2.. The US future indexes are in the green territory right now. Dow is up by 87 points trading above 9300. The greenback came under pressure directly after the jobs data as these better than expected figure should increase the investors' risk appitite before getting back all of these loses across the broad gaining further versus the japanese yen and it is now well supported above 96.

The British pound has been pushed strongly today by the better than expected release of UK PMI manufacturing index of July which reach the expansion territory above 50 for the first time since March 2008 at 50.8 and it was expected to be just 47.7. The cable got over 1.68 after the data and there can be a close try for getting above 1.7 later this week amid the current improving of the investors' risk appetite which weighing on the greenback since the release of US Q2 GDP advanced reading which has shown a contraction in a slower pace than expected  by just 1% and the market was waiting for a shrinking by 1.6% after the first quarter drop by 5.5%. By god's will, we wait later this week for the MPC meeting and these figures may stave off further easing steps of the BOE current quantitive easing policy. In the MPC recent meeting, the market has been shocked by The BOE decision to not add more than the £125bn already authorised satisfied by just announcing the probability of reviewing this amount in this coming meeting.

The greenback was trading in a mixed way in the recent 2 days unfazed of the new equities market gains which pushed Dow to a new high closing yesterday above 8900. The greenback was creeping up versus the British pound while it was groveling versus the Japanese yen and in this same time the single currency which is waiting for the release of July germane IFO to go up to 86.5 from 85.9 in June next Friday is still trading around 1.42 versus the greenback as there were no significant data to move it from here and it looks that the market has become pricing on these stocks gains and cautious from an inevitable profit taken wave can start at any moment.

Yesterday, Bernenke has refereed in his testimony in from of the congress to the current weakness of the labor market which can effect negatively on the consuming spending downplaying the inflation upside risks in the next 2 years and there is no change of the fed's easing policy before an improving of the labor market.