Australia Forecasts 2020-2021 Jobless Rate of 8.75%

Ross J Burland FXStreet

Australia Forecasts 2020-2021 with a Jobless Rate of 8.75% and a Budget Deficit of A$184.5Bln.

Treasurer Josh Frydenberg has begun giving the economic update.

Key numbers

Two deficits, $85.8bn in 2019-20 and $184.5bn in 2020-20.
Net debt $488.2bn at 30 June 2020 and $677.1bn the following year.
Tax receipts are down $31.7bn in 2019-20 and $63.9bn in2020-21.
Growth will fall by 3.75% this year and GDP is forecast to be 2.5% higher next year.
Unemployment to peak at 9.25% in the December quarter.

Frydenberg says the coronavirus crisis says Australia’s GDP will fall 3.75% in 2020, but grow by just over 2% in calendar year 2020.

He said the Australian government has introduced fiscal support measures worth $164bn, or 8.4% of GDP.

Author

Ross J Burland

FXStreet

Ross J Burland, born in England, UK, is a sportsman at heart. He played Rugby and Judo for his county, Kent and the South East of England Rugby team.

EUR/USD trims gains, back below 1.1800

EUR/USD now loses some upside momentum, returning to the area below the 1.1800 support as the Greenback manages to regain some composure following the SCOTUS-led pullback earlier in the session.

GBP/USD off highs, recedes to the sub-1.3500 area

Following earlier highs north of 1.3500 the figure, GBP/USD now faces some renewed downside pressure, revisiting the 1.3490 zone as the US Dollar manages to regain some upside impulse in the latter part of the NA session on Friday.

Gold climbs to weekly tops, approaches $5,100/oz

Gold keeps the bid tone well in place at the end of the week, now hitting fresh weekly highs and retargeting the key $5,100 mark per troy ounce. The move higher in the yellow metal comes in response to ongoing geopolitical tensions in the Middle East and modest losses in the US Dollar.