The Australian Trade Balance has been facing challenges due to various factors such as lackluster demand from China, the collapse of the real estate market, and the slump in iron ore prices during the first half of 2024. These issues have been compounded by trade tensions between Australia and China, as well as the weak
Forecasts
Looking at the long-term trend on the monthly scale, there is a possibility of a breakout happening in the near future. Price has been forming higher highs and higher lows, suggesting that there is bullish momentum building up. The recent higher low at $1.2037 in October 2023 indicates that buyers are stepping in at higher
The FX Empire article discusses the Reserve Bank of Australia (RBA) and the potential for an interest rate hike in the coming months. The article emphasizes the importance of monitoring the RBA’s determination to reach its inflation target, even at the expense of other economic indicators such as the labor market and macroeconomic environment. The
The FX Empire article provides an overview of the upcoming US ISM Manufacturing PMIs and their potential impact on the USD/JPY exchange rate. It also discusses the finalized S&P Global Manufacturing PMI numbers for June and how changes to these numbers could influence market sentiment towards the US economy. However, the article lacks depth in
The Japan household spending data is not only about the numbers. Investors need to keep a close eye on the intervention threats and Bank of Japan (BoJ) commentary. The concerns about a weak Yen’s impact on the Japanese economy could lead to potential government or BoJ actions. This could result in pushing the USD/JPY pairing
The S&P 500 futures market showed signs of growth on Friday, reflecting optimism among traders as they eagerly awaited crucial inflation data. The first half of the year witnessed remarkable gains, with the Nasdaq leading the charge with a significant 6% rise. In comparison, the S&P 500 and Dow experienced more modest increases of over
The eurozone has been struggling with economic performance over the past few years, but the recent quarterly GDP growth of 0.3% is a positive sign that the bloc is not in a technical recession. However, there are concerns that if a recession does occur later this year, it would likely be minimal and impact specific
The US Personal Income and Outlays report plays a significant role in determining the prospects of a September Fed rate cut. Analysts are predicting that the Core PCE Price Index will see a slight decrease, dropping from 2.8% to 2.6% year-on-year in April. If the actual figures come in lower than expected, it could fuel
When looking at the relationship between economic indicators and the Australian dollar, it is crucial to pay attention to Chinese industrial profit numbers. China plays a significant role in the Australian economy, accounting for one-third of Australian exports. Therefore, any fluctuations in Chinese industrial profits could have a direct impact on buyer appetite for the
The ASX 200 experienced a 1.01% decline on Wednesday as a result of hotter-than-expected Australian inflation numbers. The Monthly CPI Indicator rose from 3.6% to 4.0% in May, surpassing economists’ forecast of 3.8%. This spike in inflation has fueled investor speculation on a potential rate hike by the Reserve Bank of Australia (RBA) in August.
In a recent statement, BoJ Deputy Governor Ryozo Himino expressed his concerns about the impact of exchange-rate fluctuations on economic activity. Himino highlighted the broad and sustained effect of these fluctuations on inflation, going beyond mere import price adjustments. This acknowledgment of the complex relationship between exchange rates and economic indicators suggests a need for
Recent data shows that the CB Consumer Confidence Index fell below 100 for the first time since July 2022. The drop is primarily attributed to consumer concerns about inflation. This decline in consumer confidence could have significant implications for the financial markets, particularly in the realm of currency trading. Investors are advised to closely monitor