The Australian dollar has had a robust start to the week helped by Chinese manufacturing PMI that was released Sunday and outperformed expectations.
The Aussie was also helped by Obama deferring to Congress to approve any strikes on Syria, and it has opened up at 89.42 US cents after it had a disappointing Friday after it went below 89 US cents. Gold has yet again had a dramatic open for the week, except this time for the worse. The price was crunched all the way down to 1373.74 USD an ounce, down over $20 since Fridays close. It has clawed a little ground back though in the last hour up to 1383 USD moments ago.
This week is all about the Australian dollar, as mentioned Sunday showed that Chinese manufacturing PMI is expanding at a print of 51. We kick of today with the Melbourne institutes inflation gauge at 10.30am followed by Building Approvals at 11.30 which is expected to improve from last month’s disappoint release. Being the first Tuesday of the month we have the decision tomorrow, but in the morning before the announcement we have both retails sales and the current account. It doesn’t end there with GDP released Wednesday and trade balance data on Thursday.
The Chinese theme continues on this morning also with HSBC Final Manufacturing PMI up just before lunch and expected at 50.1. The PMI data continues tonight with Italy, Europe as a whole and the UK releasing theirs also. Global Markets and currency trade liquidity and volumes will come to an abrupt holt tonight with US and Canadian Labor holiday
Joel Murphy
www.pepperstone.com Joel Murphy is a currency analyst and market commentator for Forex Broker Pepperstone and he regularly features on Sky Business News Australia. He has worked in both retail and institutional Forex for last 8 years and completed a Bachelor of Commerce and a Bachelor of Arts from Monash University
