What is your anticipation or future predictions to the AUD vs USD ?
I believe there will be a rallying up that could punch 80 cents again ?
Will the entry point now be a good spot ?
Needless to state my bia lol
http://forums.babypips.com/audusd/44604-bobmanincs-quest-short-aussie-into-extinction.html
From riding the waves from the all time high of 1.05. I can say its been a fun ride. I still see some room for more down side but I think the Aussie is done its cliff dive at least for a while. I can see it heading north back to .80 and maybe even parity before taking another plunge. With that said I do have a small short in place currently but not looking to get to much.
There have been recent speculations of the AUD/USD tumbling down to 50 cents which seems far fetch at the moment ? What interpretations were considered ?
Curious if it was fundamental knowledge applied, was it because Australia is heavily reliant on commodity prices which have been setback to low prices and the forecast of commodity prices seem negativity or stabilised which will cause a drop in the overall country’s revenue
AUSTRALIAN DOLLAR WILTS AS FED SPEECH NEARS
24 August 2016, 09:05
By James Glynn
SYDNEY–The Australian dollar was a little lower Wednesday in Asia, with the focus of traders remaining squarely on a speech by U.S. Federal Reserve Chair Janet Yellen at the end of the week.
In late Asia trading Wednesday, the Australian dollar was changing hands at US$0.7609, down from US$0.7642 at the same time Tuesday.
The U.S. dollar has tended to be stronger against G10 counterparts ahead of the Yellen speech. The WSJ Dollar Index, a measure of the dollar against a basket of major currencies, was up 0.07% at 85.76.
Ms. Yellen will speak at a conference at Jackson Hole, Wyoming, on the topic of designing resilient monetary policy frameworks for the future. Traders said the theoretical nature of the address might frustrate markets looking for clues around the timing of the next U.S. interest rate increase.
Investors have been reluctant to bet on higher rates this year amid weak U.S. productivity and economic growth data, but a string of hawkish commentary from Fed officials over the past week has brightened the outlook for rate increases.
Elias Haddad, senior currency strategist at the Commonwealth Bank of Australia said the longer-term focus of Ms. Yellen’s speech could disappoint the market looking for strong signals about a near-term policy change.
There is a risk that the speech may therefore be perceived as dovish, and push the U.S. dollar down, he added.
Earlier Wednesday, government data showed the pace of construction activity slowed sharply in the second quarter, an outcome likely to slow GDP growth in the quarter.
The value of construction work completed in Australia fell 3.7% in the second quarter from the first quarter to A$47.42 billion, the Australian Bureau of Statistics said.
Engineering construction work, which largely reflects activity in the mining sector, fell 9.0% to A$21.46 billion in the quarter.
Economists said the weakness was largely confined to Western Australia, a state that is feeling the full brunt of an ongoing mining investment slowdown. Construction fell a whopping 19% over the quarter, taking its retreat to 40% on-year.
But the rest of Australia (ex-WA) posted a 1.3% rise in construction over the quarter, a second consecutive gain led by Victoria and Queensland.
UBS economist Scott Haslem said the big plunge in Western Australia is likely one of the last of the big hits to the economy of a mining downturn which began in 2011, and he continues to see the first half of this year as the darkest hour for construction activity. Mr. Haslem called it the “peak of the capex drag.”
Paul Brennan, chief economist at Citigroup, said he expects GDP growth of 0.5% in the second quarter, compared with first quarter growth of 1.1%.
Still, he said his GDP forecast is preliminary with a number of partial components of growth to be announced in coming weeks, including merchandise trade number and business investment data.
But even with the projected slowdown in the quarter, annual GDP growth would still print above 3%, about trend pace, he added.
-Write to James Glynn at <[email protected]>
(END) Dow Jones Newswires