The Australian dollar pushed higher today on the back of stronger commodity prices and a round of weak data out of the US,
The local currency closed out the day at US79.68c up from US79.40c in yesterday’s trade.
ADP employment data from the US overnight showed that private employers added 169,000 jobs to the US economy last month, which although not a bad number, was well short of analysts’ expectations of 200,000.
The figure adds a little more pressure on the US Federal Reserve to hold off raising interest rates for the time being.
On Thursday, employment figures are due out from the Australian Bureau of Statistics which may give the RBA ammunition to cut interest rates further if the number fails to live up to expectations.
"With the RBA having provided little guidance to the policy path ahead, the data and the unemployment rate in particular, is going to have more of an influence on markets," NAB senior currency strategist Emma Lawson said.
"We know that volatility rises on less market guidance. Given this, and no matter your thoughts on the data, the employment report remains a key event on the FX and domestic asset calendar."
|By clicking "Continue" you will be redirected to the website operated by FIBO Group Holdings Limited, a company registered in Cyprus and regulated by CySEC. Please familiarize yourself with the Terms of Business through the link. Click "Cancel" to remain on this page.|