- 04 Oct '18 at 4:57 am #18444CorporalParticipant
Record exports saw Australia reach a much larger…
[article]1092[/article]06 Oct '18 at 8:42 pm #18445TrumanParticipant
Despite this strong result the $AUDUSD sold off to under 71 – shows you the flow on from the strong USD against the EUR and GBP but also the strong yen both hitting it. This would only benefit exports going forward.07 Oct '18 at 8:04 pm #18451ClemSnideParticipant
[quote=”Blarney” post=8245]Despite this strong result the $AUDUSD sold off to under 71 – shows you the flow on from the strong USD against the EUR and GBP but also the strong yen both hitting it. This would only benefit exports going forward.[/quote]
Australia is considered a proxy for the health of the Chinese economy. Best example is post GFC where Australia has flourished from trade flows. Fears of global protectionism have put pressure on commodity-dependent currencies.
On Friday $AUDUSD hit a two-and-a-half year low trading at $0.7045. September was the sixth losing month of the year. Since Aug. 1 when President Trump announced plans to double the already planned tariffs on China, the ussie has lost 5.1% against the USD.
Minutes from The Reserve Bank of Australia’s September meeting:
“Members observed that there were still significant tensions around global trade policy and that this represented a material risk to the outlook,”
“The direction of international trade policy in the United States continued to be a source of uncertainty for the outlook for the world economy,”
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