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
Mixed
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
Mixed
Wall Street
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
Gold
Bearish
GBP/USD
Bullish
USD/JPY
Bearish
More View more
Real Time News
  • #Bitcoin Tumbles Amid Xinjiang Blackout, Possible US Treasury Investigation - https://www.dailyfx.com/forex/market_alert/2021/04/19/Bitcoin-Tumbles-Amid-Xinjiang-Blackout-Possible-US-Treasury-Investigation.html?CHID=9&QPID=917708&utm_source=Twitter&utm_medium=Moss&utm_campaign=twr $BTC https://t.co/zs4eQVrKEP
  • 🇯🇵 Balance of Trade (MAR) Actual: ¥663.7B Expected: ¥490B Previous: ¥215.9B https://www.dailyfx.com/economic-calendar#2021-04-18
  • Trading Forex is not a shortcut to instant wealth, excessive leverage can magnify losses, and sentiment is a powerful indicator. Learn about these principles in depth here: https://t.co/lZFM8yG5lv https://t.co/j7No5uPhYF
  • 9 out of 11 S&P 500 sectors ended higher, with 70.9% of the index’s constituents closing in the green. Materials (+1.18%), utilities (+0.81%) and consumer discretionary (+0.78%) were among the best performers, while energy (-0.90%) and information technology (-0.03%) lagged. https://t.co/2qbzKRyx2B
  • 9 out of 11 S&P 500 sectors ended higher, with 70.9% of the index’s constituents closing in the green. Materials (+1.18%), utilities (+0.81%) and consumer discretionary (+0.78%) were among the best performers, while energy (-0.90%) and information technology (-0.03%) lagged. https://t.co/uAt7OhZvYM
  • There's no question about it, trading brings about much emotion. Knowing how to control emotions while trading can prove to be the difference between success and failure. Learn more about managing emotion in trading here: https://t.co/FC7CHp2y70 https://t.co/UvcEzMKGmI
  • What are some key takeaways for trading gold? Get your free insight here: https://t.co/lnxaQOsgid https://t.co/GOBTKkCEKh
  • *Reminder: Weekly Strategy Webinar Monday morning at 8:30am ET (12:30GMT) on DailyFX - https://t.co/lxd5fZ5LG7 Mid-Weekly Technical Update on Wednesday at 9:30am ET (13:30GMT) with IG - https://t.co/8SFBJxwo30
  • Forex trading, which is the act of exchanging fiat currencies, is thought to be centuries old – dating back to the Babylonian period. Learn about the history of Forex here: https://t.co/1ZR5OCfY3u https://t.co/NMiJrp6wmP
  • Brush up your knowledge on trade-wars with this tool from DailyFX research briefly outlining trade-war history dating back to the early 1900s here: https://t.co/bZEFtoQJgE https://t.co/RT9Z4K8xCy
Aussie Dollar Buffeted By Horrid GDP Miss

Aussie Dollar Buffeted By Horrid GDP Miss

David Cottle, Analyst

Talking Points

  • Hopes weren’t high for Australian GDP data
  • However, the numbers were lower than even the gloomiest forecasts
  • Already pressured, AUD/USD has slipped

The Australian Dollar was clobbered on Wednesday as Australian third-quarter Gross Domestic Product came in much weaker than expected.

GDP shrank by 0.5% compared to the second quarter, official figures showed, much worse than the 0.1% slide expected. This was the first on-quarter slide for more than five years. On-year the economy grew by 1.8%. However, that was far below both the 2.2% expected and the strong, 3.3% seen in the second quarter.

Growth weakness was partly down to feeble export growth. Stronger exports had helped the Australian economy expand at a good clip earlier in the year. But a falloff in export demand left the economy reliant on domestic consumption for growth. As we see, it hasn’t done the trick.

AUD/USD slipped to 0.74225 after the numbers from 0.74750 beforehand. A fair bit of gloom was already priced in given some of the weaker third-quarter economic data already released.

The key Australian Cash Rate has been at a record low of 1.5% since August. Markets have been wondering whether there would be any further reductions or whether that low represents the nadir for this cycle.

On the evidence of this GDP print, it would seem likely that more monetary stimulus could be in the offing. However, in Australia as elsewhere there are question marks over the likely efficacy of still-lower rates. Fiscal policy may have to do more of the heavy lifting from here.

Watching the more forward-looking Australian data is likely to be a major foreign-exchange market pastime in the coming months. Australia has not had a recession defined as two quarters of negative growth for 25 years.

At the moment, forecasters don’t seem to be expecting that it is going to endure one this year. But the odds against have certainly just fallen.

Nasty shock: AUD/USD

Aussie Dollar Buffeted By Horrid GDP Miss

How are we doing? Check out DailyFX analysts’ forecasts here.

--- Written by David Cottle, DailyFX Research

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

DISCLOSURES