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.

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
Bearish
Low
High
of clients are net long.
of clients are net short.
Long Short

Note: Low and High figures are for the trading day.

Data provided by
Oil - US Crude
Bullish
Wall Street
Mixed
Gold
Bearish
GBP/USD
Bullish
USD/JPY
Bullish
More View more
Real Time News
  • It was noted that monetary policy decisions in December would be consistent with prevailing market expectations
  • ECB Minutes - headline inflation was now expected to be in negative territory for longer than had been foreseen in the September projections
  • What are the three ways the stock market impacts the economy? Find out here. https://t.co/fg2dYSBPgB https://t.co/zsILutmUNx
  • Heads Up:💶 ECB Monetary Policy Meeting Accounts due at 12:30 GMT (15min) https://www.dailyfx.com/economic-calendar#2020-11-26
  • 🇲🇽 Economic Activity YoY (SEP) Actual: -5.5% Expected: -6.6% Previous: -9.2% https://www.dailyfx.com/economic-calendar#2020-11-26
  • 🇲🇽 GDP Growth Rate YoY Final (Q3) Actual: -8.6% Expected: -8.6% Previous: -18.7% https://www.dailyfx.com/economic-calendar#2020-11-26
  • IG Client Sentiment Update: Our data shows the vast majority of traders in Ripple are long at 93.81%, while traders in NZD/USD are at opposite extremes with 75.00%. See the summary chart below and full details and charts on DailyFX: https://www.dailyfx.com/sentiment https://t.co/feJqffHqgL
  • Heads Up:🇲🇽 Economic Activity YoY (SEP) due at 12:00 GMT (15min) Expected: -6.6% Previous: -9.4% https://www.dailyfx.com/economic-calendar#2020-11-26
  • Heads Up:🇲🇽 GDP Growth Rate YoY Final (Q3) due at 12:00 GMT (15min) Expected: -8.6% Previous: -18.7% https://www.dailyfx.com/economic-calendar#2020-11-26
  • Commodities Update: As of 11:00, these are your best and worst performers based on the London trading schedule: Gold: 0.33% Silver: 0.24% Oil - US Crude: -0.95% View the performance of all markets via https://www.dailyfx.com/forex-rates#commodities https://t.co/jPS6eutSJM
Aussie Declines on Disappointing Retail Sales Report Ahead of Rate Decision

Aussie Declines on Disappointing Retail Sales Report Ahead of Rate Decision

2013-05-06 02:55:00
Robin Leung,
Share:

The Takeaway: Australian retail sales decreased by 0.4 percent (MoM) in March -> Weaker domestic demand increased bets for a rate cut on May 7 -> AUD declined.

A surprising weaker consumer retail sales data for March increased bets for a rate cut on May 7, thereby sending the Australian dollar lower against all major counterparts on Monday Asian session. The Australian retail sales decreased by 0.4 percent (MoM) in March, compared to 1.3 percent in February, came in well shy of estimate set for 0.1 percent, according to the Australia’s Bureau of Statistics.

The slowdown in the pace of service-sector activity combined with the lower ANZ job advertisements figures, together pointed to a slowing consumer spending, which reduced upward pressure on prices and inflation. More importantly, amid the recent signs of a slowdown in China’s economic growth, this report could reinforce the case of a rate cut by theReserve Bank of Australia (RBA) rate decision that is set to release on May 7. In fact, the market is pricing in a 51 percent probability that RBA will cut rate by 25 bps tomorrow.

After the release, the Australian dollar declined against all counterparts as traders worried that the high yield profile of the Aussie will be affected by a rate cut. The Aussie slipped nearly 25 pips against the US dollar. At the time of writing, the AUD/USD is trading at 1.02792.

AUD/USD 1 Minute Chart

Aussie_Declined_on_Disapointing_Retail_Sales_Reports_Ahead_of_Rate_Decision_body_Picture_1.png, Aussie Declines on Disappointing Retail Sales Report Ahead of Rate Decision

Chart Created by Robin Leung using Marketscope 2.0

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

DISCLOSURES