The New Zealand dollar fell on Thursday amid risk aversion and mixed macroeconomic reports. The ANZ Business Confidence index dropped to -30.9 in February from -24.1 in January. The number of building consents gained 17% in January after rising 5.4% in December. The overseas trade index dropped 3.0% in the December quarter from the previous three months after falling 0.3% in the September quarter. Analysts had predicted a smaller drop by 1.0%. NZD/USD dropped … “NZ Dollar Weak amid Risk Aversion, Mixed Data”
Month: February 2019
Poor Chinese Economic Data Overshadows Australian Reports, Dragging Aussie Down
The Australian dollar fell on Thursday and was one of the weakest currencies on the Forex market during the trading session. While domestic macroeconomic data was decent for the most part, poor reports from China and risk aversion on markets dragged the currency down. China’s official manufacturing Purchasing Managers’ Index fell to 49.2 in February from 49.5 in January, moving further away from the neutral 50.0 level. Economists had expected it to stay … “Poor Chinese Economic Data Overshadows Australian Reports, Dragging Aussie Down”
Krona Gains as Sweden’s Economic Growth Beats Expectations
The Swedish krona gained today after data showed that the nation’s economy expanded last quarter two times the forecast amount. Statistics Sweden reported that gross domestic product jumped 1.2% in the fourth quarter of 2018 after contracting 0.1% in the previous three months. That is compared to the consensus forecast of a 0.6% growth. It was the fastest pace of expansion since the second quarter of 2017. USD/SEK traded at 9.2383 as of 21:34 … “Krona Gains as Sweden’s Economic Growth Beats Expectations”
Negative Market Sentiment Allows Swiss Franc Ignore Economic Data
The Swiss franc gained today, getting boost from risk aversion on the Forex market. The currency gained even as domestic macroeconomic reports were extremely disappointing, demonstrating weakness of the Swiss economy. Switzerland’s State Secretariat for Economic Affairs reported that gross domestic product rose 0.2% in the fourth quarter of 2018, trailing the consensus forecast of a 0.4% increase. The increase followed the 0.3% drop in the previous quarter. The report explained that manufacturing was … “Negative Market Sentiment Allows Swiss Franc Ignore Economic Data”
US Dollar Weakens As Economy Slows in Q4, Jobless Claims Rise
The US dollar weakened against a basket of currencies on Thursday, driven by a slowing national economy in the fourth quarter and a bump in jobless claims in the last week. The greenbackâs losses were capped by a positive business barometer that suggested renewed activity. According to the Bureau of Economic Analysis (BEA), the gross domestic product (GDP) advanced at a 2.6% annual pace in the October-to-December period, beating market forecasts of 1.9%. While fourth-quarter GDP was higher than median … “US Dollar Weakens As Economy Slows in Q4, Jobless Claims Rise”
Euro Rallies Driven by Other Currency Cross, Drops on US GDP Data
The euro today rallied higher against the US dollar from the early European session driven largely by investor sentiment to hit over 3-week tops midway through the session. Shortly after, the EUR/USD currency pair plunged lower in a pullback that was compounded by the release of the upbeat US Q4 GDP data. The EUR/USD currency pair today rallied from a low of 1.1366 to a more than 3-week high of 1.1420 before retracing all … “Euro Rallies Driven by Other Currency Cross, Drops on US GDP Data”
Chinese Yuan Jumps on Data, Capped by Currency Manipulation Claims
The Chinese yuan is strengthening midweek on signs of an economic recovery, even though a government-sponsored enterprise (GSE) recently defaulted on its debt, sparking concerns about the worldâs second-largest economy. But the yuanâs gains were capped on accusations that Beijing was manipulating its currency. Bloomberg Economics released some interesting measurements regarding the state of Chinaâs once roaring economy. The gauges suggest that there are plenty of signs that … “Chinese Yuan Jumps on Data, Capped by Currency Manipulation Claims”
Canadian Dollar Rallies on Higher Oil Prices and Mixed CPI Data
The Canadian dollar today rallied higher against its southern neighbor driven largely by rising oil prices during the European session. The loonie extended its gains in the early American session after the release of mixed Canadian inflation data to drive the USD/CAD currency pair to new daily lows. The USD/CAD currency pair today dropped from a high of 1.3176 to a low of … “Canadian Dollar Rallies on Higher Oil Prices and Mixed CPI Data”
Sterling Rallies as Theresa May Changes Stance
The Great Britain pound gained against its major rivals today as British Prime Minister Theresa May changed her stance regarding the no-deal Brexit and delay for Britain’s separation from the European Union. Previously, May was strongly opposing a delay for the Brexit and wanted to keep the “no-deal Brexit” scenario in the cards. But now, she completely switched gears as chances are her Brexit plans will be turned down once … “Sterling Rallies as Theresa May Changes Stance”
Australian Dollar Dragged Down by Market Sentiment, Poor Data
The Australian dollar was weak today, falling for the same reasons as its New Zealand counterpart: the negative market sentiment and poor domestic macroeconomic data. The Australian Bureau of Statistics reported that construction work done fell 3.1% in the December quarter from the previous three months on a seasonally adjusted basis. That was completely opposite to analysts’ expectations of a 0.6% increase. The decline in the September quarter got a substantial negative revision from 2.8% … “Australian Dollar Dragged Down by Market Sentiment, Poor Data”