Author: Dennis Li
Over the weekend, we saw US stocks touch a record high while the USD fall to 3-month lows against a basket of currencies on bets the US Fed would start lowering interest rates amidst growing tensions between them and Iran. Under a rush of stimulus from central banks offshore, risk appetite is leaning slightly in favour of the AUD with it holding its ground above 69 US cents, up 1.60% for the week last week. The AUDEUR finished at 0.6089 last Friday, sliding by 0.67% to its lowest level since November 2009 as the EUR was buoyed by stronger-than-forecast survey data on French and German business activity.
The key focus for markets this week is the G20 Summit in Osaka. The summit is scheduled between 27-29 June, with US President Trump and Chinese President Xi scheduled to meet over the weekend to discuss a potential trade deal and hopefully put a stop to further escalation in the tariff war.
Except for RBA Governor’s speech this morning there is no market moving economic data released domestically, investors this week will also keep an eye on overseas data which includes the RBNZ June meeting on Wednesday, EU’s Consumer confidence and America’s Q1 GDP on Thursday, EU’s Inflation data and UK’s Q1 GDP on Friday.
© Copyright - EncoreFX, 2018.EncoreFX (Australia) Pty Ltd ABN 42 607 244 879 AFSL 479 870 is the issuer of the financial products in Australia. The information on this website has been prepared without taking into account your objectives, financial situation or needs and so before acquiring any financial services or products from EncoreFX, you should consider the appropriateness of the information having regard to your own objectives, financial situation or needs. You should obtain the product disclosure statement (PDS) for the relevant product and consider the PDS before making any decision to acquire the product. The information on this website is not directed at residents of any country other than Australia and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. It is the responsibility of visitors to this website to ascertain the terms of, and comply with, any local law or regulation to which they are subject.