Forex analytics and overview

Aussie Steady as Confidence Data Softens

2023.11.14 06:34

MarketPulse

  • Consumer confidence slides
  • Business confidence eases while business conditions improve

The has edged lower on Tuesday. In the European session, AUD/USD is almost unchanged, trading at 0.6376.

Australian Consumer, Business Confidence Eases

Australian consumers have been hit hard by high inflation and steep interest rates, so it’s no surprise that consumers are deeply pessimistic about the economy. The Westpac Consumer Sentiment index declined by 2.6% in November, down from 82 to 79. The RBA’s recent rate hike certainly didn’t boost confidence, as consumers expect mortgage rates to continue rising over the next 12 months.

The NAB Business Confidence index fell to -2 in October, down from a revised zero in September. This was below the market consensus of 1 and was the lowest level since May. The silver lining was an improvement in business conditions, which rose in October from 12 to 13.

The Reserve Bank of Australia raised rates earlier this month after four consecutive pauses. Is the RBA done with its tightening cycle? The central bank meets next on December 5th and has stressed that future rate decisions will be based on the data. Australia releases retail sales and inflation reports a week prior to the meeting, and these releases could determine whether the RBA hikes again or pauses.

The US releases the October inflation report later today. The release could provide clues as to how long the Fed plans to keep rates at elevated levels. Headline inflation is expected to rise 3.3% y/y, compared to 3.7% in September. The core rate is expected to remain unchanged at 4.1% y/y.

The markets have priced in a rate cut in mid-2024 and an unexpected inflation reading would likely lead to the repricing of a rate cut. The Fed has pushed back against talk of a rate cut, as inflation remains well above the 2% target. The markets haven’t been listening to the Fed, but they’ll be keeping a close eye on the inflation report.

AUD/USD-4-Hour Chart

AUD/USD Technical

  • AUD/USD continues to put pressure on support at 0.6351. Below, there is support at 0.6292
  • 0.6408 and 0.6476 are the next resistance lines

Original Post

Source link

Related Articles

Back to top button
bitcoin
Bitcoin (BTC) $ 105,126.17 1.54%
ethereum
Ethereum (ETH) $ 3,262.16 4.04%
xrp
XRP (XRP) $ 3.13 1.66%
tether
Tether (USDT) $ 1.00 0.01%
solana
Solana (SOL) $ 240.37 3.55%
bnb
BNB (BNB) $ 679.06 1.15%
usd-coin
USDC (USDC) $ 1.00 0.00%
dogecoin
Dogecoin (DOGE) $ 0.332204 1.31%
cardano
Cardano (ADA) $ 0.966552 2.05%
staked-ether
Lido Staked Ether (STETH) $ 3,258.49 3.72%
tron
TRON (TRX) $ 0.252131 4.48%
chainlink
Chainlink (LINK) $ 24.55 3.11%
avalanche-2
Avalanche (AVAX) $ 34.45 3.72%
wrapped-bitcoin
Wrapped Bitcoin (WBTC) $ 104,802.08 1.41%
wrapped-steth
Wrapped stETH (WSTETH) $ 3,872.58 3.39%
stellar
Stellar (XLM) $ 0.430646 8.75%
sui
Sui (SUI) $ 4.17 10.47%
hedera-hashgraph
Hedera (HBAR) $ 0.318591 2.44%
the-open-network
Toncoin (TON) $ 4.83 0.76%
shiba-inu
Shiba Inu (SHIB) $ 0.000019 1.51%
litecoin
Litecoin (LTC) $ 129.70 11.53%
weth
WETH (WETH) $ 3,261.01 3.60%
polkadot
Polkadot (DOT) $ 6.15 5.77%
hyperliquid
Hyperliquid (HYPE) $ 27.65 18.35%
leo-token
LEO Token (LEO) $ 9.77 0.13%
bitcoin-cash
Bitcoin Cash (BCH) $ 436.34 4.47%
bitget-token
Bitget Token (BGB) $ 6.94 1.69%
uniswap
Uniswap (UNI) $ 12.02 1.68%
usds
USDS (USDS) $ 0.999918 0.10%
wrapped-eeth
Wrapped eETH (WEETH) $ 3,451.22 3.70%
ethena-usde
Ethena USDe (USDE) $ 1.00 0.07%
pepe
Pepe (PEPE) $ 0.000013 2.81%
near
NEAR Protocol (NEAR) $ 4.64 3.88%
mantra-dao
MANTRA (OM) $ 5.56 19.22%
official-trump
Official Trump (TRUMP) $ 26.28 5.90%
ondo-finance
Ondo (ONDO) $ 1.58 7.12%
aave
Aave (AAVE) $ 317.60 7.48%
aptos
Aptos (APT) $ 7.91 5.50%
internet-computer
Internet Computer (ICP) $ 9.15 5.32%
monero
Monero (XMR) $ 233.00 5.13%
whitebit
WhiteBIT Coin (WBT) $ 28.54 0.42%
ethereum-classic
Ethereum Classic (ETC) $ 26.40 2.33%
mantle
Mantle (MNT) $ 1.17 7.49%
vechain
VeChain (VET) $ 0.046796 6.72%
bittensor
Bittensor (TAO) $ 455.34 0.71%
crypto-com-chain
Cronos (CRO) $ 0.130847 0.98%
polygon-ecosystem-token
POL (ex-MATIC) (POL) $ 0.415149 4.20%
dai
Dai (DAI) $ 1.00 0.01%
okb
OKB (OKB) $ 56.43 3.28%
kaspa
Kaspa (KAS) $ 0.13149 6.09%