AUD/USD Fundamental Analysis – November 20, 2015 – Forecast

Analysis and Recommendation:

The AUD/USD gained 56 points to climb to 0.7166 well off of lows seen earlier this week when it was possible for the currency to dip below the 70 level. The US dollar took a breather yesterday after FOMC minutes supported a December rate increase. The minutes were of no surprise to the markets and traders were hoping for an indication of how much the increase would be as well as future increases.

The US dollar index, a measure of the greenback against a basket of currencies, fell from an eight-month high after minutes to the Federal Open Market Committee reaffirmed investors’ expectations for higher interest rates next month. The greenback gained about 6.1 percent since the October meeting on the prospect of the US’s zero interest rate policy coming to an end, and some investors took the opportunity to cash in those gains after the minutes stuck to the official statement last month.

The Australian dollar has been going rocketed up for in Asia today as the reversal of fortune for the US dollar, which began early this morning, continues and traders react to a break in the Aussies downtrend.

FxEmpire provides in-depth analysis for each currency and commodity we review. Fundamental analysis is provided in three components. We provide a detailed monthly analysis and forecast at the beginning of each month. Then we provide more up to the data analysis and information in our weekly reports.

Today’s economic releases:

 

Upcoming Economic Events that you should be monitoring:

Friday, November 20, 2015

Government Bond Auctions

Date Time Country

Nov 19 10:30 Spain 0.25% Apr 2018 Bono, 1.15% Jul 2020 Bono, 5.4% Jan 2023

Nov 19 10:50 France Eur 7-8bn; 4.25% Oct 2018 OAT, 0.25% Nov 2020 OAT, 2.25%

Nov 19 11:50 France Eur 1-1.5bn; 0.25% Jul 2024, 1.85% Jul 2027, 3.15% Jul 2032

Nov 19 N/A US Holds 10-year TIPS auction

Nov 20 16:30 Italy Announces details of CTZ/BTPei on 25 Nov

Nov 23 12:00 Belgium Auctions OLOs

Nov 23 N/A US Holds 2-year note auction

Nov 24 17:30 Italy Announces details of BTPs/CCTeu on 27 Nov

Nov 24 N/A Holland Eur 1.0-2.0bn 0.25% Jul 2025 DSL

Nov 24 N/A US Holds 5-year note auction

Nov 25 11:03 Sweden Holds bond auction

Nov 25 11:10 Italy Auctions CTZ/BTPei

Nov 25 11:30 Germany Eur 3bn 1.0% Aug 2025 Bund

Nov 25 N/A US Holds 2-year FRN auction

Nov 25 N/A US Holds 7-year note auction

Nov 26 11:03 Sweden Holds bond auction

Nov 27 11:03 Sweden Holds bond auction

Nov 27 11:10 Italy Auctions BTPs/CCTeus