Jul 23, 2007 / 11:04am / in Americas, Asia, Australian Dollar, Canadian Dollar, Economics, Fundamental, Interest Rates, New Zealand Dollar, Oil, United States Dollar, Forex News
Inflation has always been an important concern for currency analysts, if only because it has a direct relationship with interest rates. Central banks have a mandate to keep inflation under control, and so signs of rising inflation indicate a strong currency. But the new paradigm of an increasingly international economy could leave monetary policy makers impotent in the face of global inflationary surges.
Jul 19, 2007 / 6:44am / in Americas, Asia, Australian Dollar, Canadian Dollar, Carry Trading, Interest Rates, Japanese Yen, New Zealand Dollar, United States Dollar, Forex News
Commodity currencies have been beating up on the US dollar and the Japanese yen recently and yesterday was no different. The Canadian dollar, the New Zealand dollar and the Australian dollar all hit new highs, an occurrence so common in that last couple of weeks that’s most traders simply yawned. Some of the underlying support for these currencies comes from high commodity prices, especially oil and gold, of course. But much of the gains should also be attributed to weakness in the US dollar and the yen carry trade.
Jun 7, 2007 / 12:06pm / in Australian Dollar, General, Interest Rates, New Zealand Dollar, Forex News
The New Zealand dollar and Australian dollar are seeing record highs at Wednesday’s closing versus the United States dollar.
After unemployment rates bottomed to less than 4%, a 33-year low, the Aussie reached a point it had not been to in 17 years. It closed yesterday up 0.5% to 0.8444 against the dollar and 0.6 per cent to Y102.46 against the yen. This raised much speculation that Australian interest rates will be raised in the near future.
Apr 2, 2007 / 7:00am / in Australian Dollar, Forex Trading, Forex News
After passing the ten year high set recently the AUD/USD's next mission is to break the December 1996 high of .8215 to seek levels set in October of 1990. Retail sales came in better than the expected .8% m/m at .9% m/m causing the pair to rally around 100 pips.
Dec 20, 2006 / 8:22am / in Australian Dollar, Forex Trading, Japanese Yen, Forex News
Last time the aussie crossed 100.00 it failed to close on a weekly time frame and collapsed quickly thereafter falling 600 pips the next week, and 44% over the next three and a half years down to 56. After six years of recovery, today AUD/JPY pushes to new highs printing at 93.18, a place it has not seen since right after the crash in 1997. Signs points to higher with the expected continuance of the large yield spread between the two currencies.