Australian dollar slides

The Australian dollar has fallen Friday and is buying 72.54 US cents, down from 72.82 US cents on Thursday.

Yesterday, the Australian dollar has got a small boost from stronger-than-expected data from its top trading partner China. The local currency edged up 0.2 per cent to $0.7282 on Thursday after sitting on the fence for most of the day.

The currency had climbed to a six-week peak of $0.7300 on Wednesday as the greenback slipped after US President Donald Trump’s Republican Party failed to gain dominance in the House of Representative following US midterm elections.

On Thursday, official data out of China showed exports sprang 15.6 per cent in October from a year earlier, while imports expanded 21.4 per cent, both handily beating expectations.

The numbers were closely watched by the market with China’s economic outlook clouded by US tariffs.

“Anything that is good for the Chinese economy is good for the Australian dollar,” said Kyle Rodda, Melbourne-based analyst at IG Markets.

“We haven’t seen a great deal of price action today but any data that does support the notion that the Chinese economy is being supported and is stronger … that’s a largely positive thing.”

Governor Philip Lowe offered a taster on the outlook earlier this week, noting that inflation would slightly pick up to 2.25 per cent in 2019 and a “bit higher” the following year.

Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.


Comment Manually

This site uses Akismet to reduce spam. Learn how your comment data is processed.


Inside Retail Polls

Myer's new chief executive
Is John King the right CEO to lead Myer's turnaround?


Amazon shoppers in Australia can buy items from its US site again after having built the "complex infrastructure" n…

8 hours ago

The jury is still out for 2019 Retailer Awards. Are you delivering superior customer experience? Enter awards today…

10 hours ago

Home furnishings giant to cut jobs as part of a new company strategy.

12 hours ago

FREE NEWS BRIEFS Get breaking news delivered