The Australian dollar rallied today despite unfavorable domestic macroeconomic data. A possible reason for the rally was economic data released in China, which was rather good.
The Westpac Melbourne Institute Index of Consumer Sentiment fell 1.8% in June in May. Meanwhile, the National Bureau of Statistics of China reported that industrial production expanded 6.5% in May from the previous year, the same as in the preceding month and slightly above the median forecast of 6.4%. Other reports released in China were also decent. China is the major destination for Australia’s goods, thus news from the Asian country has a big impact on the Australian currency.
AUD/USD rallied from 0.7536 to 0.7578 as of 11:12 GMT today. EUR/AUD dropped from 1.4869 to 1.4781.
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