Tradervox.com (Dublin) – The cross has moved up over the last week as the Australian dollar gained over one cent against the US dollar to close the week at 1.0477. The advance was supported by poor US releases that came at the end of the week and the growing sentiments about additional stimulus by the Federal Reserve. The HIA New Home Sales which were released on Sunday in Australia showed a strong record, coming in at 2.8 percent. This has pushed the aussie/dollar pair up to 1.0497 from last week’s close of 1.0477. Here are some of the events that will affect the pair during the week.
On Monday at 2130hrs, the Building Approvals data will be published. The indicator has a history of being volatile; it jumped to 27.3 percent in June but the market expects this to revert to a drop of -15 percent. At the same time the Private Sector Credit report will be given to the public where a little change is expected. On Tuesday, the AIG Manufacturing Index will be announced at 1930hrs; the indicator has been below the critical 50-point line from February. The Chinese Manufacturing PMI on the same day at 2100hrs is another report to your eyes on. The HPI data at 2130 will be the last major report on Tuesday.
On Wednesday, the first report will be the Commodity Prices data at 0230hrs. This indicator has been on a decline, which is indicative of week exports from Australia as a result of global economic slowdown. The Retail Sales report will be released at 2130hrs where the market expects a slight change from the modest rise registered this month of 0.5 percent. The Trade Balance will also be released at the same time with investors predicting a wider deficit gap to be registered. The AIG Services Index is the last report from Australia which will be released on Thursday at 1930hrs. The market expects a reading hire than 50-point level.