Get Started

Currency Market Analysis

Oct 17, 2019 | Currency Market Analysis

Global Themes

AUDUSD rebounds

The Aussie rebounded from one-week lows as a poor reading from US retail sales pressured the US dollar overnight.

The greenback fell after September retail sales dropped 0.3% versus expectations for a 0.3% gain.

The news signalled the US’s slowdown in business activity was spreading into the consumer space and added to expectations the Federal Reserve would cut interest rates when it next meets on 31 October. The AUDUSD gained 0.1%.

Pressured in Europe

In other markets, the AUD was pressured in Europe as hopes grew for a potential deal between the UK and EU on Brexit.

The AUDGBP fell 0.2% – reaching new three-year lows – while the AUDEUR fell 0.4% to end at six-week lows.

The Aussie was higher versus the NZ dollar but weaker against the Japanese yen.

Jobs due

Today’s focus is on the critical Australian employment report due at 11.30am AEDT.

The market expects a moderate 15k new jobs.

The Australian employment report has missed on only two of the last 11 occasions.

More importantly, the unemployment rate will be closely watched, with the Reserve Bank of Australia aiming to get unemployment to 4.5%.

The market forecast for today’s number is 5.3%.

Get the daily currency market analysis in your Inbox

Published five days a week, this newsletter provides day-to-day trends and activities affecting the market in easy-to-understand snapshots.