The Australian Dollar is on course to make a weekly gain against the Pound after it was buoyed by better-than-expected data out of China, the ‘Kiwi’ is also trading higher.
According to the General Administration of Customs, Chinese exports increased by 5.6% in October and imports climbed by 7.6%. The increase in trade buoyed the ‘Aussie’ due to China being Australia’s biggest trading partner and buyer of iron ore. China’s trade surplus also increased, climbing to $31.1 billion.
The currency is likely to come under pressure however as the Reserve Bank of Australia does what it can to try and weaken the currency’s value in an effort to support the national economy and in particular exports.
“The RBA’s doing their absolute best to talk the currency down and, given the fragile economic outlook, that may help to some degree. But positive news in terms of Chinese imports, particularly commodity imports should be beneficial for the ‘Aussie’, said Central Bank Assistant Governor Guy Debelle.
Further gains from the Chinese data were limited as investors went into a holding pattern before the release of anticipated jobs data out of the USA. A better-than-forecast result of that data is likely to cause investors to increase their bets that the Federal Reserve could begin tapering its monetary easing programme sooner than expected, a move that would bolster the US Dollar and weaken the ‘Aussie’.
“If we get a surprise number to the upside, the Aussie will move significantly lower,” said David Scutt, a trader at Arab Bank Australia.
The New Zealand is also trading firmer against the Pound and is expected to follow the movements of its bigger Australian relation.
Both currencies are likely to see big movements over the weekend due to the release of a number of important data release out of China.
Current Exchange Australian Dollar (AUD) Rates
The Australian Dollar/US Dollar Exchange Rate is currently in the region of: 0.9463
The Australian Dollar/Euro Exchange Rate is currently in the region of: 0.7051
The Australian Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5878
The Australian Dollar/ New Zealand Dollar Exchange Rate is currently in the region of: 1.1359
The Euro/Australian Dollar Exchange Rate is currently in the region of: 1.4181
The Pound Sterling /Australian Dollar Exchange Rate is currently in the region of: 1.7011
Current New Zealand Dollar (NZD) Exchange Rates
The New Zealand Dollar/US Dollar Exchange Rate is currently in the region of: 0.8330
The New Zealand Dollar /Euro Exchange Rate is currently in the region of: 0.6207
The New Zealand Dollar/Pound Sterling Exchange Rate is currently in the region of: 0.5174
The New Zealand Dollar /Australian Dollar Exchange Rate is currently in the region of: 0.8803
The US Dollar/ New Zealand Dollar Exchange Rate is currently in the region of: 1.2003
The Pound Sterling/New Zealand Dollar Exchange Rate is currently in the region of: 1.9324
The Euro/ New Zealand Dollar Exchange Rate is currently in the region of: 1.6109
Correct as of 09:45 am GMT
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