AUD/USD Fundamental Analysis October 16, 2013 Forecast

Analysis and Recommendation:

The AUD/USD gained 42 points against the weak US dollar and on assuring words revealed in the RBA minutes which were released this morning.  The news comes as Senate leaders said they were within striking distance of a deal to sidestep a looming debt crisis and reopen the federal government two weeks after a partisan deadlock forced it to shutter. Fourteen days after a partial government shutdown began, senators signaled a bipartisan resolution could come as soon as Tuesday. The Australian dollar bounced above 95 cents, to its highest point since September 19, after US Democratic and Republican Senate leaders emerged from negotiations confident they would strike a deal to avert a debt default. They have three days to come to an agreement on extending the US debt ceiling before the October 17 deadline.

The Australian dollar rose following the release of minutes from the Reserve Bank of Australia’s October board meeting and data from the Australian Bureau of Statistics showing a jump in business finance in August. In the minutes of its October meeting, the RBA board argued it was prudent to leave the official cash rate at a record low of 2.5 per cent while it continued to gauge the effects of a “substantial degree” of policy stimulus. Official ABS data showed business finance rose seven per cent in August, while personal finance slipped 2.6 per cent.

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.

Economic Data October 15, 2013 actual v. forecast

 

Upcoming Economic Events that affect the AUD, NZD, JPY and USD

Government Bond Auction

Date Time Country 

Oct 16 00:30 Japan

Oct 16 09:10 Sweden

Oct 16 09:30 Germany

Oct 16 09:30 Portugal

Oct 17 08:30 Spain

Oct 17 08:50 France

Oct 17 09:30 UK

Oct 17 09:50 France

Oct 17 15:00 US