Yesterday the dollar was under bearish pressure after the release of Friday fundamental news.

The main catalyst of sales became the oil market rise. After week calm and consolidation of the oil prices below a mark of $60 for barrel the market has again been excited by disturbing news from Nigeria.

The crude oil prices rose after the head of Nigerian rebels declared "total war" with the foreign oil companies, having strengthened fears about delivery breaches from the largest oil exporter in Africa.

One more factor, giving hopes for hydrocarbon prices reduction, probability of drop of stress of Iranian nuclear program because of negotiations of Russia, China and Iran about cooperation in atomic energetics, is considered unlikely by the market.

The Russian government’s proposal on nuclear fuel enrichment in the territory of Russia was turned down by Iran, peace talks of the leading countries with this country is at a deadlock.

The oil light sweet with delivery in March was up $1.29, or 2.2 %, to $59.75 for barrel in NYMEX.

Consumer sentiment decreased in February according to University of Michigan data, that also affected negatively the dollar. The University of Michigan sentiment index dipped to 87.4 in February against 91.2 in January as the report was stated. Economists forecast that the value would remain without changes approximately at 91.1. The index of current conditions dropped to 107.7 against 110.3, and the index of expectations came down to 74.4 against 78.9. These indexes are at a minimum level since November.

PPI  - wholesale price index, one of the main indicators for the US FRS estimation of the inflation condition in the country, dipped in January against December indicators. This index together with CP is watched especially closely by the analytical service FED. This index rise is one of the main motives for FRS rate increase - federal funds rate.

Reduction of PPI growth in January will raise some doubts in the decision of a question on rates.

According to the report of the Bureau of Labor statistics, U.S. Department of Labor wholesale prices in the USA were up 0.3 % in January on a background of a rise in prices on cars and the machinery, against a similar indicator for December - 0,6 %.

The root index, which excludes foodstuffs and energy, was up 0.4 % after growth on 0.1 %, it is twice as much the forecasts. The prices for the intermediate goods were up 1.2 % and up 9.3 % for 12 months till January. The prices for raw material and so-called crude oil were down 0.5 % and were up 23.6 % for the last 12 months.

Except for foodstuffs and energy, the intermediate prices were up 1 % after growth on 0.3 % in December. The root crude oil prices were down 0.1 % after growth on 0.5 %. The energy prices did not change for the last month after growth on 2 % in December.

On a background of weak news over the USA, a slight increase of production volume in Eurozone supported euro.

Average value of growth of production volume in 2005 made 1.2 %. Production volume growth in Eurozone in December was the greatest on power products (2.9 % against 3.45 in November). The production volume of nondurable goods rose a little (0.8 %), production volume of durable goods, intermediate goods and means of production was down (-0.1 %,-0.6 % and-0.5 % correspondingly).

Technical picture. The European currencies rise against the dollar can be considered now only as correction of a downtrend. Potential of a correction is at least a level 1,2040.

As a whole the situation can is estimated as neutral - that is exchange rates are poised within the limits of a currency corridor 1,1850-1,1925 on euro. In insufficiency of powerful data for euro growth, it is quite probable, that the prices will again enter this sideways. While it is necessary to remain outside of the market.