AUD/USD Fundamental – November 18, 2015 – Forecast

Analysis and Recommendation:

The AUD/USD dipped another 13 points to trade at 0.7084 as the US dollar continued to rally as a safe haven although markets remain a calmer than expected. This morning’s release of monetary policy minutes from the RBA indicated that the bank remained concerned over problems in China and that the committee was in no rush to change rates.

The Australian dollar slipped below 0.7100 in overnight trade, weighed down by broad based US dollar strength and lower base metals prices. With the exception of crude prices which ripped higher in late trade, largely in response to short covering following a significant rout last week rather than any fundamental reasoning, the commodities complex was weaker with copper falling to a fresh 6-year low while the spot iron ore price slid by a further 0.83%.

The Australian dollar is back below 0.7100 after financial markets sentiment turned sour following the fatal attacks in Paris. There are at least 129 people dead from a series of bombings and shooting in Paris on Friday and the French government is considering extending a state of emergency by three months.

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:

Wednesday, November 18, 2015

Government Bond Auctions

Date Time Country

Nov 18 11:30 Germany New Eur 5bn Dec 2017 Schatz

Nov 18 11:30 UK 2% 2025 Gilt auction

Nov 18 11:30 Portugal Eur 1-1.25bn; bond auction

Nov 18 16:30 Sweden Announces details of Bond on 25 Nov

Nov 18 N/A Holland Announces details of Bond on 24 Nov

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