The demand for the USD and the complicated statistics from China “cut the ground from under” the Australian Dollar.
On Tuesday, the Australian Dollar is trading downwards against the USD. The current quote for the instrument is 0.7707.
So, on the presidential elections day in the USA, the demand for the “safe haven” USD is rather high – other currencies are retreating under such pressure. This situation may last at least for the next 24 hours, until the elections in all US counties are over.
The Chinese statistics published in the morning put even more pressure on the Aussie. Trade Balance of China in October expanded up to 49.06 billion, which is more than the previous number, but still worse than expected. Last month, Chinese export and import continued to reduce as both of them look very slow this autumn.
Today’s statistics from Australia also failed. The NAB Business Confidence in October declined from 6 (the number in the previous month) points to 4. It appears that the business confidence are becoming tighter and tighter considering both the situation in China, which is Australia’s most important trade economic partner, and external complications.
Today, the major currency pairs, including AUD/USD, will be mostly trading under the influence of the politics, but not the statistics. Investors will respond to the macro statistics later, after learning the results of the main political event of the year.
RoboForex Analytical Department
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