The market is under influence of mixed factors. The quotations have firmly strengthened in a currency corridor 1,2185 - 1,2300.

Stabilization of the oil market has moderated a little bull moods of the currency market against dollar. The oil prices for the first time from the beginning of this year have moved to a mark $65 for barrel. “Fundamental factors are quite bearish … as a whole, the data of the report have confirmed that the market is well provided with stocks", - Victor Shamm, Purvin and Gertz analyst says.

So, volumes of petroleum and distillates stocks have grown almost three times as much the market’s forecasts. Crude oil stocks though have reduced, but remained “considerably above the top border of an average range for this season", the Department of Energy informed. On morning tenders in Asia the oil prices continued to cut owing to strong stocks data in the USA, published yesterday.

March futures for the US crude oil light sweet have fallen in price 15 cents up to $65.70 per a barrel against the price of closing in New York $65.85. On the other hand euro growth limits the uncertainty of the main European financial institutions.

The divergence of opinions in ECB Board about the necessity of the further toughening monetary policy in the near future cause a question whether the consensus will be reached by March when the markets expect the next rate increase, well informed MNI sources declared.

However March increase of the rate is not excluded, and economic data available to ECB before the end of February, and also Bank’s new forecasts will have basic value for decision-making on rates at meeting on March, 2nd as the sources have interpreted. Considering necessity of the further analysis of data, the rate increase at meeting on February, 2nd is improbable.

The Council watches very carefully for renewal of a rise in oil prices and their influence on price stability and economic growth. It is necessary to note that divergences of opinions at necessity of rates increase have appeared shortly before Board meeting on December, 1st. However at that meeting the Board could consent to the rate rise on 25 basic points.

However, and there were not any motives for dollar growth for last day – the US housing market data were against dollar.

According to yesterday's report of the National Association of Realtors, Existing Home Sales decreased 5.7 % in December to the seasonally-weighed value 6.60 million y\y, a minimum for almost two years. Sales were much more below the value, predicted by economists, 6.89 million Sales drop the third month in a row. “Speculators leave the game", National Association of Realtors group economist declared. Unsold houses dipped 4.4 % to 2.80 million in December, for 5.1 months. The average price climbed 10.5 % y\y in December. The prices came up 12.7 % in 2005 to $208,700.

Existing Home Sales and New Home Sales (which report will be issued this Friday) give housing market information. In its turn activity or passivity of this sector of economy influences directly on a level of the Federal funds rate. Yesterday's dip of activity of the housing market is one of the factors, which can affect FRS decision to hold less aggressive policy about the federal funds rates increase.  

Concerning the opened Longs according to recommendations of January, 20th and January, 23rd - all hold good.

Euro - the price has reached its 1 purpose, therefore - 1,2300, on the 2 purposes stop should be moved in make-out.

Pound sterling - the price has reached its first purpose - 1,7930, stop on 2 order is kept at a former level 1,7750.  

The purposes should be kept, euro - 1,2450, pound sterling - 1,8050.