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.



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

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • Huawei's CFO Meng Wanzhou reached deal with the US Dept of Justice to return her to China - Dow Jones
  • Cleveland Fed President Loretta Mester says: - sees US GDP in 2022 between 3.75 and 4% - Supports tapering in November and concluding over the first half of 2022 - After liftoff, accommodative policy needed for some time
  • Fed Chairman Jerome Powell doesn't comment on the growth forecast or monetary policy in his introductory remarks
  • Kansas City Fed President Esther George says: - The labor market friction is fading barring a resurgence of virus - A 'normal' economy is likely to remain elusive for some time - Asset buying effects complicate the judging rate change plan
  • The risk rally that charged the S&P 500 and brethren post-FOMC has stalled into Friday's open. DailyFX's @JohnKicklighter discusses what is driving markets post Fed👇
  • 🇺🇸 New Home Sales MoM (AUG) Actual: 1.5% Previous: 6.4%
  • China has announced that they will be cracking down on Cryptocurrency mining and while this has been a reoccurring theme, regardless of that fact Get your market update from @JMcQueenFX here:
  • Looks like they couldn't hold the 8.8000 line for $USDTRY. Record high exchange rate (favoring Dollar over Turkish Lira) despite a still-17.75 percentage point differential in their benchmark rates...
  • 🇺🇸 New Home Sales MoM (AUG) Actual: 1.5% Previous: 1%
  • RT @elerianm: Thank you @LizAnnSonders for this and, more generally, for all your informative and insightful tweets. Two things to add from…
Aussie Dollar Steady as China Caixin PMI Edges Up

Aussie Dollar Steady as China Caixin PMI Edges Up

David Cottle, Analyst

Talking Points

  • Private service sector activity ticked up in November, according to Caixin
  • Taken with a manufacturing deceleration, the overall picture hasn’t changed much
  • Neither did AUD/USD, which was more focused elsewhere

The Australian Dollar was steady on Monday after news of a pickup in Chinese service-sector output was published.

The private Caixin Purchasing Managers Index (PMI) for the sector came in at 53.1 in November, up from 52.4 the month before. This result contrasts slightly with the modest decceleration seen in the Caixin manufacturing survey, released last week. In the logic of PMIs 50 is the magic level which seperates expansion from contraction.

The composite Caixin PMI for November was thus unchanged on October’s showing at 52.9. There was also some good news for Beijing in the survey breakdown, with the sharpest increase in total business input costs and output charges since early 2011. This suggests that the authorities’ often-strenuous efforts to combat deflationary pressures are bearing some fruit.

The PMI data passed markets by however. Early Asian focus has been squarely on the defeat and resignation of Italian Prime Minister Matteo Renzi in a constitutional referendum on Sunday and what this might mean for Italy’s economic reform as well as its place in the Eurozone.

The China numbers weren’t dramatic enough to tear attention away from that live issue.

The Australian Dollar can function as the markets’ favourite liquid China proxy bet, but didn’t do so to any very clear extent after the PMI numbers. AUD/USD was at 0.74250 right after the release, from 0.74340 just before.

Steady for now: AUD/USD

Aussie Dollar Steady as China Caixin PMI Edges Up

Chart compiled using TradingView

Check out the DailyFX Analysts' 4Q forecasts for Dollar, Euro, Pound, Equities and Gold in the DailyFX Trading Guides page.

--- Written by David Cottle, DailyFX Research

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