Marketwatch Australia

Daily Insights
August 31, 2023

The Australian dollar has made it through another week of trading against the dollar to trade under 0.65, despite the number of tries it made to trade above but failing to stay at those levels. The Aussie has, however, ended the week stronger by 1.3%.  The market will be paying very close attention to the U.S. Nonfarm payrolls to be released tomorrow for any signs of growth or uptick in earnings, which will add risk for a possible move higher in interest rates by the Federal Reserve.  Adding to the pull back of the Aussie from its highs is China’s economic woes and whether their stimulus will help the country. Being one of Australia’s largest customers, China’s weakness will significantly impact the Australian economy.  China has approved a rate cut on existing mortgages for first time home buyers.  It also lowers the down payment required for first- and second-time home buyers in hopes to stimulate buyers and prop up the economy that has been suffering.

The RBA will be holding its monetary policy meeting next week which will be held on Tuesday to determine if the cash rate will be changed.  With a softer amount of economic data being released, it is not expected that rates will be hiked at this meeting.

Economic Calendar

JPY - Final Manufacturing PMI
CNY - Caixin Manufacturing PMI
GBP - Nationwide HPI m/m
AUD - Commodity Prices y/y
CHF - CPI m/m
EUR - French Gov Budget Balance
EUR - Spanish Manufacturing PMI
CHF - Manufacturing PMI
EUR - Italian Manufacturing PMI
EUR - French Final Manufacturing PMI
EUR - German Final Manufacturing PMI
EUR - Final Manufacturing PMI
GBP - Final Manufacturing PMI
GBP - MPC Member Pill Speaks
CAD - GDP m/m
USD - Average Hourly Earnings m/m
USD - Non-Farm Employment Change
USD - Unemployment Rate
CAD - Manufacturing PMI
USD - Final Manufacturing PMI
USD - ISM Manufacturing PMI
USD - ISM Manufacturing Prices
USD - Construction Spending m/m
USD - Wards Total Vehicle Sales

Market Indicators

Currency Pairs
Pair High Low
aud/usd 0.65077 0.64609
nzd/usd 0.59769 0.59303
aud/nzd 1.08965 1.07924
usd/jpy 146.226 145.202
usd/cad 1.35577 1.34902
eur/usd 1.09394 1.08251
gbp/usd 1.27344 1.26226
aud/eur 1.68694 1.66905
aud/jpy 94.94 94.031
aud/cny 4.72 4.7115
Equities and Commodities
S&P 500 4510.31
DOW 34736.5
Nasdaq 100 15503.3
ASX200 7265.08
GOLD 1939.15
WTI 83.55

This document is for information purposes only and does not constitute any recommendation or solicitation to any person to enter into any transaction or adopt any trading strategy, nor does it constitute any prediction of likely future movements in exchange rates or prices or any representation that any such future movements will not exceed those shown on any illustration. All exchange rates and figures appearing are for illustrative purposes only. You are advised to make your own independent judgment with respect to any matter contained herein.