Australian Dollar Outlook - 28 April 2014
Bell FX Currency Outlook: Markets remain orderly despite more Ukrainian tensions.
Australia: The AUD remains relatively resilient in early trade today at around 0.9275 within its recent range despite some increase in US equity market volatility Friday night from further Ukrainian tensions. For the AUD, events offshore will be critical this week, in particular the tone of the statement following the FOMC meeting and the US employment numbers.
Majors: Pre-Russian separatists continue to hold some OSCE European observers against their will, control has been taken of a regional Ukrainian TV station and US and European reports point to further sanctions against Russian individuals and companies close to President Putin. The USD continued to trade in a narrow range ahead of an important week. The FOMC meeting Wednesday morning, the ISM, Q1 GDP and payrolls at the end of the week. China has its official manufacturing PMI, while Euro-zone inflation will reveal whether the April inflation report might add to deflationary fears. Germany's CPI comes out Wednesday. GBP/USD was boosted following stronger-than-expected UK retail sales, although this move was later unwound on news that the report was not quite as weak as feared though it did come with a small sting in the tail from a downward revision to February's growth.
Economic Calendar
- 28 APR JN Retail Sales MoM/YoY Mar
- UK Nationwide House PX MoM/YoY Apr
- US Pending Home Sales MoM/YoY Mar
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