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27 Nov 2013
European open: Aussie dollar claws back some losses, light data in Europe
FXstreet.com (London) - The Australian dollar clawed back its losses overnight after briefly hitting three-month lows at USD0.9089 on declining appetite for the Aussie dollar as a proxy for risk. The Aussie dollar recovered to trade in a tight range between USD0.9130. The pair is currently trading at USD0.9134.
The Aussie dollar also hit five-year lows against the New Zealand dollar at NZD1.1118 on diverging central bank monetary policy expectations and higher-than-expected New Zealand export numbers at NZD4.25bn versus market expectations of NZD4bn. The pair has climbed back to NZD1.1142 on choppy trading.
Today sees another quiet day on the data front for Europe.
Sweden will see some second-tier data releases with the trade balance and household lending for October. Household lending numbers may be under scrutiny should there be any jumps. The Riksbank has so far pursued a policy of holding off on any further rate cuts over concerns about rising household debt and escalating house prices.
EUR/SEK is currently trading at SEK8.9213, down 0.05 percent after early highs at SEK8.9333.
In the UK, the second reading of third quarter GDP should remain unchanged at 0.8 percent quarter-on-quarter. We will also see the CBI reported sales figure released today, where market expectations are for a rise from +2 to +11.
It is likely that we will see a thin day of trading in the US ahead of Thanksgiving tomorrow. Durable goods orders numbers are due for release, where it is expected that a decline in transportation numbers will weigh on the headline figure with a fall of 2 percent. Ex-transport the numbers should remain firm, with market expectations for a +0.5 percent print.
Chicago PMI numbers are also due, where it is expected that we will se a sharp drop from last month’s 65.9 print to a more sober 59.0.
The Aussie dollar also hit five-year lows against the New Zealand dollar at NZD1.1118 on diverging central bank monetary policy expectations and higher-than-expected New Zealand export numbers at NZD4.25bn versus market expectations of NZD4bn. The pair has climbed back to NZD1.1142 on choppy trading.
Today sees another quiet day on the data front for Europe.
Sweden will see some second-tier data releases with the trade balance and household lending for October. Household lending numbers may be under scrutiny should there be any jumps. The Riksbank has so far pursued a policy of holding off on any further rate cuts over concerns about rising household debt and escalating house prices.
EUR/SEK is currently trading at SEK8.9213, down 0.05 percent after early highs at SEK8.9333.
In the UK, the second reading of third quarter GDP should remain unchanged at 0.8 percent quarter-on-quarter. We will also see the CBI reported sales figure released today, where market expectations are for a rise from +2 to +11.
It is likely that we will see a thin day of trading in the US ahead of Thanksgiving tomorrow. Durable goods orders numbers are due for release, where it is expected that a decline in transportation numbers will weigh on the headline figure with a fall of 2 percent. Ex-transport the numbers should remain firm, with market expectations for a +0.5 percent print.
Chicago PMI numbers are also due, where it is expected that we will se a sharp drop from last month’s 65.9 print to a more sober 59.0.