Overnight China are set to release a few data releases which clients involved with an Australian dollar exchange short term, should keep a close eye on. Consumer Price Index monthly figures are set to show -0.1%, however 1% up from last month and yearly inflation is set to fall to 1.9% from 2.1%. If the numbers meet the expectation you would expect to see a slight decline for the Australian dollar.
Later tomorrow morning the UK’s interest rate decision will take centre stage, and this decision has received a fair amount of media attention. 2-3 weeks ago forecasters were predicting that there was a 85% chance of a hike and now forecasters are suggesting a 20% chance due to the slowdown in the UK economy. GDP, inflation and retails sales all dropped last month.
My personal opinion is that the pound could come under pressure after the release therefore I would purchase Australian dollars before the event and sell after.
To finish the week Australian Home Loans is set to be released. With it being well documented that there has been a slow down in the major cities, home loads is set to be released at 0.1%. A high reading is seen as positive as it means investor confidence is high and therefore properties are being purchased. 0.1% is 0.3% higher than last months figure, nevertheless it wont be seen as positive therefore I would expect this to be a non event.
If you are buying or selling Australian dollars in the future, I would strongly recommend getting in contact to discuss your requirements. The company I work offers a proactive service to offering economic information whilst having the ability to offer award winning exchange rates. Feel free to email me with your requirements along with the timescales you are working to and I will respond with my forecast and the process of using our company [email protected].