The AUD/USD is up 11 points at 0.7624 remaining rangebound. There is a lack of top tier data until the US session later but that data is expected to have
The AUD/USD is up 11 points at 0.7624 remaining rangebound. There is a lack of top tier data until the US session later but that data is expected to have little effects on the market with the big Jackson Hole speech the focus of the markets. ANZ noted that the markets for key Australian exports iron ore and coal remained among the world’s most oversupplied, which was likely to prevent any sustained rally in the terms of trade. Additionally, the recent strength in the Australian dollar could weigh on economic growth.
“This outlook for both the domestic economy and key commodity sectors means any further appreciation in the Australian dollar is likely to be driven by global liquidity and risk appetite factors, rather than anything fundamental,” ANZ said.
The AUD held on to its gains despite disappointing data yesterday, when Australia’s construction work data dropped more than expected.
Katrina King, head of global liquid strategies at QIC, one of the Australia’s biggest government pension managers has said that at US 77 cents, the Australian dollar looks to be 10% overvalued, when measured by the Reserve Bank of Australia’s in-house economic modelling, reports The Australian.
ABN Amro Bank NV which had a bearish view on the Aussie dollar with a target of 72 cents at the end of the third quarter, has closed their trading recommendation, said Roy Teo, its senior currency strategist in Singapore. They expect the RBA to ease in November and forecast the Aussie to end the year at 74 cents, reports Bloomberg.
A Reuters poll of 55 analysts in early July forecasts the Aussie dollar to reach 72 cents in three months’ time and drop down further to 70 cents in a year.
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August 26, 2016
Country | Name | Volatility | Previous |
JPY | Tokyo CPI ex Food, Energy (YoY) | 2 | 0.3 |
JPY | Tokyo CPI ex Fresh Food (YoY) | 2 | -0.4 |
JPY | Tokyo Consumer Price Index (YoY) | 2 | -0.4 |
JPY | National CPI Ex-Fresh Food (YoY) | 2 | -0.5 |
JPY | National CPI Ex Food, Energy (YoY) | 2 | 0.4 |
JPY | National Consumer Price Index | 2 | -0.4 |
EUR | Gfk Consumer Confidence Survey | 2 | 10 |
GBP | GDP (YoY) | 2 | 2.2 |
GBP | GDP (QoQ) | 2 | 0.6 |
USD | GDP Annualized | 2 | 1.2 |
USD | GDP Price Index | 2 | 2.2 |
USD | Personal Consumption (QoQ) | 2 | 1.9 |
USD | Core Personal Consumption (QoQ) | 2 | 1.7 |
USD | Markit PMI Composite | 2 | |
USD | Baker Hughes US Oil Rig Count | 2 |
Government Bond Auctions
Date Time Country Auction
Aug 24 10:03 Sweden Holds bond auction
Aug 24 10:30 Germany Eur 4bn 0% Oct 2021 Bobl
Aug 24 18:00 US Holds 2yr FRN auction & 5yr note auction
Aug 25 18:00 US Holds 7yr note auction
Aug 26 10:10 Italy Holds zero coupon