Australian Dollar:
The Australian Dollar starts a shade lower this morning at AUD/USD 0.7336 following a relatively lacklustre trade session on Thursday. In the absence of domestic economic announcements yesterday the higher yielding currency saw intraday lows of AUD/USD0.7284 countered by highs of 0.7372. With yet another clear economic docket on the cards the Aussie is expected to remain range bound, and will be looking overseas for any direction leading into the weekend as Chinese manufacturing data is due for release mid-afternoon.
We expect a range today of AUD/USD 0.7300 – 0.7380
New Zealand Dollar:
The Kiwi has gained momentum overnight as investors push back expectations of a September rate hike by the US Federal Reserve. The local currency witnessed intraday highs of NZD/USD 0.6646, and kept within a 70 point range yesterday as a clear economic docket provided limited price action. Traders today will be looking to July immigration figures as well as credit card spending information for any direction closing off the week. The NZ dollar opens today at 0.6623 when valued against its US counterpart.
Great British Pound:
The pound sterling opens notably higher today as local economic data bolsters the GBP. Retail sales figures yesterday printed an increase in 0.1% for the month of July, missing forecasts of a 0.4% increase, however still improving on the previous month’s results of a 0.1 % decrease. The local currency starts trade toady at 1.5688 against is US counterpart, and at 2.1374 and 2.3648 when compared to its Australian and New Zealand partners, Public sector net borrowing numbers being announced later in the session will attract investor focus and provide direction into the weekend.
We expect a range today of GBP/AUD 2.1330 – 2.1410
Majors:
The EUR/USD opens stronger today as trader’s price in the possibility of the expected September rate hike moving back later in the year. The currency pair remained range bound as fears of a Greek default subsides, and the Euro stabilises as the dust settles on the recent Greek debt saga. An array of European manufacturing and services will provide direction today for the Euro Dollar as French and German PMI data is scheduled for release later today. The EUR/USD starts today at 1.1240
Data releases:
CAD: Core CPI m/m, Core Retail Sales m/m, CPI m/m, Retail Sales m/m
CNY: Caixin Flash Manufacturing PMI
EUR: GfK German Consumer Climate, French Flash Manufacturing PMI, French Flash Services PMI, German Flash Manufacturing PMI, German Flash Services PMI, Flash Manufacturing PMI, Flash Services PMI, Consumer Confidence
GBP: Public Sector Net Borrowing
JPY: Flash Manufacturing PMI
NZD: Visitor Arrivals m/m, Credit Card Spending y/y
USD: Flash Manufacturing PMI