EncoreFX’s daily market updates are written by our experienced and professional dealing team.
Author: Hayden Carswell
A 90 day truce on tariffs between the US and China at the G20 meeting over the weekend gave the AUD life, up over 100 points from Friday’s lows. The underlying meaning is that the US will leave existing tariffs on $200 billion worth of Chinese goods at 10% and refrain from raising rates to 25% as planned on the 1st January. China agreed to buy agricultural, industrial and energy goods from the US with further discussions to come.
Furthermore at the G20, Russia and Saudi Arabia agreed to continue cooperation together in the oil market, this is in anticipation of demands to cut oil production and support prices at next week’s OPEC meeting.
In a busy news week, tomorrow we have the RBA Cash rate and Statement. Will the G20 outcome be enough for the RBA to change its tone on the AUD? The Bank of England is also speaking with any Brexit comments closely scrutinised. Other major data driving the market will be Australian GDP Wednesday, Retail Sales Thursday and US employment to round up the week Saturday morning.
© 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.