Australian, New Zealand dollar riding high on Chinese data
Mecklai Graph: Kiwi, Kangaroo riding on the Dragon. Australia‘s dollar touched the strongest level in two weeks after Chinese data showed signs of economic stabilization, brightening the export outlook for the South Pacific nation.
Mecklai graph of the day: Kiwi, Kangaroo riding on the Dragon
Australia’s dollar touched the strongest level in two weeks after Chinese data showed signs of economic stabilization, brightening the export outlook for the South Pacific nation. New Zealand dollar also witnessed a spike in the current session to the high of 0.8229. China being one of Australia's main trading partners, receiving 25% of Australia's exports, an optimistic gross domestic product figure of 7.4% during the third quarter from a year earlier buoyed the currency. A separate report showed industrial production increased 9.2% in September from a year earlier. While the retail sales advanced 14.2% and fixed-asset investment excluding rural households rose 20.5% last month.
As concerns around a China slowdown start to ease off a little, a bit more upside in the Aussie can be expected going forward if additional stimulus is contemplated by the Chinese government and/or People’s Bank of China (PBOC).
Below graph shows movement of Aussie and New Zealand dollar in the month of October
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