The dollar trade calm, just below its 2014 peak

Good Morning,

- The dollar trade calm, just below its 2014 peak, with the dollar index edging little down to 82.071, with all eyes now on Jackson Hole later today .

- Asian shares rose, after Wall Street hit a new all time record yesterday. Japan's Nikkei -0.30%, Hong Kong's Hang Seng 0.35% (07:06 GMT), Korea's Kospi 0.61%, Australia's ASX 200 0.11% and China's Shanghai 0.46%.

- The euro recover and tries to regain the 1.33 level, after upbeat German data helped it pull away from an 11-month trough of $1.3242 hit yesterday. Markit's flash composite Purchasing Managers' Index for Germany was 54.9 for August, well above the 50 mark that separates economic expansion from contraction.

- The market were cautious ahead of a speech by Federal Reserve Chair Janet Yellen later in the day at the annual gathering of central bankers in Jackson Hole, Wyoming, which will be studied for any fresh signals about the timing of U.S. interest rate increases.

- FED’s of Philadelphia President Charles Plosser said on Thursday that the U.S. central bank’s expectation of maintaining its near-zero-percent interest rate stance well into the future is “risky policy.” Speaking in a CNBC interview, Mr. Plosser, a persistent critic of Fed actions, said he remains uncomfortable with the central bank telling markets and others that it will carry on with its very easy money policy well into the future.

- Also Kansas Fed President Esther George told CNBC the time has come for higher rates, while less hawkish San Francisco Fed President John Williams said the bank should wait until the summer of 2015.

- U.S. data yesterday showed Existing-home sales rose to a 10-month high in July, factory activity in the mid-Atlantic region hit its highest level since March 2011 in August, and a gauge of future economic activity grew solidly last month.

- Commerzbank on EUR/USD: Sell into next resistance. CB notes that it slid through the 1.3295 November 2013 low and stayed below that level. "It has reached the 38.2% Fibonacci retracement of the 2012-14 rise at 1.3249 en route to the 1.3105 September low and the psychological 1.3000 region," CB projects. "Minor resistance comes in around 1.3333/36 and more important resistance along the three month downtrend line at 1.3429," CB adds. In line with this view, CB runs a limit order to sell EUR/USD at 1.3330, with a stop at 1.3450, and a target at 1.3110.

- With less than a month to go until Scotland votes on independence, nationalists are seeking to broaden the debate away from a difficult focus on what currency would be used after breaking from the United Kingdom. The question of whether Scotland could keep the pound if it voted on Sept. 18 to leave the United Kingdom has hampered independence campaigners. The British government has said no and Bank of England Governor Mark Carney has warned of difficulties in monetary union.

- China’s economy is looking shaky again, with a widely watched indicator of manufacturing activity the latest to turn southward, prompting some experts to call for more government stimulus measures. The country should meet its economic growth target this year, but a downturn in home prices coupled with slow movement on economic reform poses big risks in the longer term, according to an informal China Real Time poll of 14 economists. The median growth forecast for this year is 7.5%, bang on the government’s target. Policy makers have made it clear that they do not intend to miss the target.

- Gold traded near a two-month low on speculation that U.S. interest rates are set to increase as investors awaited remarks from Federal Reserve Chair Janet Yellen at a meeting of central bankers. Silver headed for a sixth week of losses in the longest slump in more than a year. Gold for immediate delivery traded last at $1,279 an ounce, after reached $1,273.14 yesterday, the lowest level since June 18.

- Watch today: Jackson Hole, Fed’s Chair Yellen, ECB's Draghi.

Have a nice Weekend!