News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.

0

Notifications

Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events

0

Economic Calendar

Economic Calendar Events

0
Free Trading Guides
Subscribe
Please try again
EUR/USD
Mixed
Oil - US Crude
Bullish
Wall Street
Bullish
Gold
Mixed
GBP/USD
Mixed
USD/JPY
Bearish
More View more
Real Time News
  • Forex Update: As of 12:00, these are your best and worst performers based on the London trading schedule: 🇳🇿NZD: 0.04% 🇨🇦CAD: -0.19% 🇪🇺EUR: -0.20% 🇨🇭CHF: -0.23% 🇬🇧GBP: -0.23% 🇦🇺AUD: -0.26% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/zkVQG2MHAv
  • ETH now breaking below its 200DMA - May 23rd low at 1736 https://t.co/WOr1tveDDU
  • BoE's Haskel (Dove) has been appointed for a second term Catherine Mann appointed to the BoE's MPC and will replace Vlieghe who is leaving the MPC in August
  • Traders focus a lot of their energy on spotting the perfect time to enter a trade. While this is important, it is ultimately where traders choose to exit trades that will determine success. Learn about the three types of trading exit strategies here: https://t.co/muYkTNXH7s https://t.co/NegC8Mfbq8
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Silver are long at 85.96%, while traders in GBP/JPY are at opposite extremes with 68.05%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/T9v0aosH41
  • Heads Up:🇧🇷 BCB Copom Meeting Minutes due at 11:00 GMT (15min) https://www.dailyfx.com/economic-calendar#2021-06-22
  • The non-farm payroll (NFP) figure is a key economic indicator for the United States economy. It is also referred to as the monthly market mover. Find out why it has been given this nickname here: https://t.co/yOUVEEqhc5 https://t.co/2Msf0Dma64
  • Commodities Update: As of 10:00, these are your best and worst performers based on the London trading schedule: Gold: -0.01% Silver: -0.05% Oil - US Crude: -0.57% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/kfGYnBnPzL
  • Forex Update: As of 10:00, these are your best and worst performers based on the London trading schedule: 🇯🇵JPY: -0.09% 🇳🇿NZD: -0.13% 🇨🇦CAD: -0.17% 🇨🇭CHF: -0.28% 🇬🇧GBP: -0.40% 🇦🇺AUD: -0.42% View the performance of all markets via https://www.dailyfx.com/forex-rates#currencies https://t.co/uguqoq37JO
  • Indices Update: As of 10:00, these are your best and worst performers based on the London trading schedule: FTSE 100: 0.17% Wall Street: -0.09% US 500: -0.12% France 40: -0.16% Germany 30: -0.20% View the performance of all markets via https://www.dailyfx.com/forex-rates#indices https://t.co/D92F7Uappm
Aussie Dollar to Mirror Risk Trends Amid Global Slowdown Fears

Aussie Dollar to Mirror Risk Trends Amid Global Slowdown Fears

Ilya Spivak, Head Strategist, APAC
Aussie Dollar to Mirror Risk Trends Amid Global Slowdown Fears

Fundamental Forecast for the Australian Dollar: Neutral

  • Aussie following risk trends amid global slowdown worries
  • Soft news-flow from China may undermine recent strength
  • Upbeat jobs data trim RBA rate cut bets, but not for long

Losing money trading the Australian Dollar? This may be why.

The Australian Dollar advanced for a sixth consecutive week, making for the longest winning streak in a year. The currency’s resilience began as a reflection of ebbing RBA rate cut bets in late May but prices have since mirrored sentiment trends, posting a sharp two-day downswing amid risk aversion following the UK “Brexit” referendum but swiftly recovering alongside stocks as the dust settled.

From here, the central question on the minds of investors is whether global economic growth can hold up following the UK vote. The fear is that an almost certain slowdown in Europe will reverberate on a worldwide scale while pressure on the structural integrity of the Eurozone – the core of the broader EU –threatens market-wide financial stability.

The week ahead offers ample opportunities to evaluate the landscape. Chinese GDP figures as well as US retail sales and consumer confidence reports will help establish where the world’s top-two economies stood ahead of the Brexit vote, offering a sense of whether they will amount to potent countervailing forces to malaise on both sides of the English Channel.

While US fundamental outcomes have markedly improved relative to consensus forecasts over recent weeks, the situation in China has been far less encouraging. The revelation of a steeper slowdown than already projected by economists (6.6 percent year-on-year in the third quarter vs. 6.7 percent in the second) may undermine risk appetite and weigh particularly heavily on the Aussie considering Australia’s intimate trade relationship with the East Asian giant.

Domestic news-flow could limit sentiment-inspired weakness. June’s Employment report is expected to show job creation slowed a bit compared with the prior month but Australian data’s tendency to outperform over the past two months opens the door for an upside surprise. That may weigh against RBA easing expectations, although traders still lean in favor of a cut at the next meeting despite supportive data news-flow.

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.

DISCLOSURES