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.
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
Disclaimer: The views and investment tips expressed by investment experts/broking houses/rating agencies on moneycontrol.com are their own, and not that of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
To read the full report click here
ADS BY GOOGLE
video of the day
No definite plans for merger of PSU banks: Banking Secy