Bell FX Currency Outlook: The AUD is likely to range trade today after posive night in equity markets, though we see further downside risks for the local currency.

Australia: The Australian dollar traded marginally higher overnight against a weaker US dollar as stronger commodity prices and positive global data saw a positive session for risk assets. The currency fell back below 1.0200 against the Greenback in yesterday's session as a sluggish Retail Sales figure weighed on the currency.

Domestic building approvals rose 6.4% in August following on from a steep fall the month prior which left approvals subdued overall. While weaker commodity prices and continued softer data releases is likely to put further pressure on the RBA to ease rates.

There are no major data releases domestically today with markets awaiting key jobs data out of the US latter tonight.

Majors: The BOE and ECB both left rates unchanged overnight. ECB president Draghi added to positive market sentiment reiterating the ECB's commitment to price stability throughout their bond buying program.

A relatively quiet European session saw equities end little changed with the FTSE closing unchanged at 5,828 and the German DAX declining 0.2% to 7,305. A drop in US jobless claims for the week ending Sept 29th which came in at 367k, slightly better than the markets forecast of 370k gave
support to equity markets overnight.

A positive start to the US session saw US equities rise overnight with the S&P 500 closing 0.7% higher at 1.461 and the DJIA ended 0.6% higher at 2,486.

US FOMC minutes released overnight showed Fed members were nearly united last month in their belief the economic recovery needed additional help, and the Central bank had the ability to provide it.

All members but one agreed the outlook for economic activity and inflation called for additional monetary accommodation or QE3. Oil prices rebounded overnight, retracing most of yesterday's falls with Brent oil prices up 3.5% to USD $112.4 per barrel, WTI futures rose 4.0% to USD 91.7 per barrel.

Base metals where firmer overnight with nickel up 0.8%, copper +0.1% and ally +0.6% Gold rose to an 11-month high at USD $1,791 per ounce off the back of positive commentary from ECB president Draghi.
Economic Calendar
05 OCT JP BoJ Target Rate
GE Factory Orders
US Unemployment Rate
US Non Farm Payrolls
If you require latest pricing and ranges, visit www.bellpotter.com.au