Last week mixed results were released amid an unexpected drop in Japan’s core machinery orders, with a 7.1% drop in December indicating the stagnating effect of the strong yen and the global slowdown. However consumer sentiment unexpectedly increased to 40 from 38.9 while expected to reach 38.6. Will Japan be able to hold off a deeper decline?

Last week ECB president Mario Draghi’s remark at the ECS press conference provided a loop hole to contribute to the Greek bailout, by suggesting to distribute profits from Greek bonds to Greece. Meantime Greece is in a vicious cycle while the austerity measures posed by the EU paralyze market activity lowering consumption which in turn produces less tax revenues to cover its growing debt. Will Draghi’s suggestion help the struggling nation? Let’s start:

In the US, Richmond Manufacturing Index, Manufacturer’s Monthly Survey to rate business conditions such as shipments, new orders etc., rise that shows condition improvements by 3 points up to 6 points this month.

Last week Japan’s core machinery orders jumped 14.8% from October. This climb was much higher than predicted, suggesting companies spent more capital yielding to the market demand following last year’s earthquake. Meantime, Tertiary Industry Activity went down more than predicted dropping 0.8% in November after 0.7% gain in the prior month. Let’s find out what’s in store for us this week.

The upcoming Greek debt deal certainly helped improve market atmosphere. In the US, jobless claims plunged dramatically to a nearly four-year low of 352,000 claims, 50,000 down from the prior week, while early expectations stood on 387K. The Philly Fed Index reached 7.3 points with a dominant employment factor. These good employment readings give further boost to the recovering job market. Will the job market continue to improve? Let’s start:

In the US, Existing Home Sales, monthly report to value the inhabited houses that were sold on the last month (the previous month (not including new building), rise from 4.97M on November up to 5.04M is predicted now.

Last week Japan’s large manufacturer’s sentiment dived to-4 in the third quarter from2 inthe second quarter amid worsening conditions in foreign markets and the yen appreciation and the floods in Thailand resulting in lower exports. The reading was below the -2 drop predicted. However the service sector dealing with domestic consumers unaffected by foreign markets, were quite optimistic with a reading of 4 after reaching1 in the second quarter. The figure was well above the1 pt. predicted. However unless foreign market conditions improve, Japanese economy could face a recession.

Last week US unemployment claims dropped to a three year low with 366,000 initial jobless claims suggesting a real recovery trend in the job market. Another surprise coming from the Euro-Zone with an unexpected improvement in the PMI; French Flash Services rose above the 50 point line and Germany service sector expanded to 52.7 from 50.3. Will these encouraging trends continue this week? Let’s Start

In the US, Consumer Price Index (CPI), value the consumer’s price change of goods and services, due to reduce by 0.3% this month, while the Core CPI (apart from food and energy) is expected to remain 0.1% similar to the last report.

Last week  Leading indicators dropped to 91.6 from 93.8 in July, while Current account increased export surplus, reaching 1.19T from 0.75T in July, and Business confidence improved for the first time in three months, reaching 45.9 from September’s 45.3 indicating recovery, but still below the 50 point line. Will this recovery continue?