Australian Dollar Drops After RBA Minutes
March 20 2017 - 9:52PM
RTTF2
The Australian dollar weakened against the other major
currencies in the Asian session on Tuesday, as investors digested
the minutes of the Reserve Bank of Australia's March meeting.
Minutes from the bank's March 7 meeting revealed that members of
the Reserve Bank of Australia's monetary policy board expected to
see consumer prices continue to rise, albeit at a gradual pace.
The members noted that the Australian economy is continuing to
move away from a focus on mining investment, in spite of a mild
rebound in commodity prices, the minutes showed.
In other economic news, the Australian Bureau of Statistics said
that house prices in Australia advanced 4.1 percent on quarter in
the fourth quarter of 2016. That beat forecasts for a gain of 2.5
percent following the 1.5 percent increase in the third
quarter.
On a yearly basis, prices spiked 7.7 percent, again beating
estimates for 6.3 percent and up from 3.5 percent in the three
months prior.
Meanwhile, crude oil futures edged lower amid reports that OPEC
may extend its supply quota experiment beyond this year.
Monday, the Australian dollar had risen 0.38 percent against the
U.S. dollar, 0.03 percent against the yen, 0.27 percent against the
euro and 0.37 percent against the Canadian dollar. Meanwhile, the
aussie dropped against the NZ dollar.
In the Asian trading, the Australian dollar fell to a 6-day low
of 1.0929 against the NZ dollar and a 4-day low of 1.3967 against
the euro, from yesterday's closing quotes of 1.0956 and 1.3893,
respectively. If the aussie extends its downtrend, it is likely to
find support around 1.08 against the kiwi and 1.41 against the
euro.
Against the U.S. dollar, the yen and the Canadian dollar, the
aussie slipped to 0.7701, 86.79 and 1.0282 from yesterday's closing
quotes of 0.7727, 86.99 and 1.0320, respectively. The aussie may
test support near 0.75 against the greenback, 86.00 against the yen
and 1.01 against the loonie. Looking ahead, Swiss SECO economists
forecasts for March is due to be released in the pre-European
session at 2:45 am ET.
Swiss trade data for February, U.K. consumer price, producer
price and retail price indexes for February, house price index for
January and public sector finance data for February are slated for
release later in the day.
At 6:00 am ET, Federal Reserve Bank of New York President
William Dudley and Bank of England Governor Mark Carney are
expected to participate in a panel discussion about ethics and
culture in banking at the Bank of England, in London.
At 7:45 am ET, Federal Reserve Deputy Director for Division of
Bank Supervision and Regulation Maryann Hunter will attend American
Bankers Association's Government Relations Summit in
Washington.
In the New York session, Canada retail sales data is set to be
published.
At 12:00 pm ET, Federal Reserve Bank of Kansas City President
Esther George is expected to speak on the U.S. economy and the
Federal Reserve before an event hosted by Women in Housing and
Finance, in Washington.
At 3:45 pm ET, Bank of Canada Deputy Governor Lawrence Schembri
will deliver a speech at the Greater Vancouver Board of Trade.
AUD vs Yen (FX:AUDJPY)
Forex Chart
From Apr 2024 to May 2024
AUD vs Yen (FX:AUDJPY)
Forex Chart
From May 2023 to May 2024