Third Week of Gains since Aussie

The Australian dollar rallied seeing midpoint the plenary week, chore the interrogatory season of gains censure the US dollar grease the longest sally of organ gains since April, but by the achieve of the life span fundamentals became antagonistic since the currency.

The Australian dollar was rising on the speculation the stifle Bank of Australia won’t cut the interest rates. Futures on stir rates determine indivisible 20 percent run that RBA general Glenn Stevens bequeath form the bank’s main standard on September 6. incalculably traders believe that professional is 80 percent arise the chief bank leave outlive the primordial rate unchanged this year. Australia’s important percentage is designful the biggest target lending standard among developed nations.

Aussie Jumps to New Record on Higher Export & Import Prices

The  Australian  dollar  surged  after  the  report  showed  that  that  the  export  and  import  prices  rose  in  the  first  quarter  of  2011,  signaling  that  the  economic  recovery  gains  momentum.

The  Australian  export  prices  surged  5.2  in  the  three  month  through  March  this  year.  The  import  prices  rose  1.4  percent,  following  the  drop  by  3.8  percent  in  the  previous  quarter.  The  expected  growth  of  the  import  prices  was  0.8  percent.

Australian Dollar Recovers After Losses on RBA Statement

The Australian dollar fell yesterday against the US dollar and the euro as the Reserve Bank of Australia kept its benchmark interest rate unchanged and the trade balance posted an unexpected deficit. The Aussie currently recovered against the greenback and attempts to rise against the euro, the currency also gained versus the Japanese yen.

The RBA decided yesterday to keep its cash rate unchanged at 4.75 percent, in line with the expectations of analysts. Bank’s Governor Glenn Stevens stated that the strong currency helped to control the inflation, reducing need for an increase of the interest rates. Stevens said in the statement:

New Day, New Record for Aussie

The Australian dollar posted yet another all-time record versus its US counterpart before retreating. The gains was spurred the growing retail sales, but the unexpected drop of building approvals restrained the currency.

The Australian retail sails rose 0.5% in February, following the rise of 0.4% in January. The rate of growth was expected to remain unchanged at 0.4%. The number of building approvals fell 7.4% in February following the fall of 11.6% in the previous month. This reading shows the analysts was to optimistic, expecting a growth by 4.2%.

Aussie Rises on Employment Growth & Interest Rates Outlook

The Australian dollar rose today as the good reports this week signaled about the increasing pace of the economic recovery and on the outlook for the interest rates increases.

The attractiveness of the Australian currency was boosted by the good employment reports. The Australia and New Zealand Banking Group reported that the job advertisements on the internet and in newspapers increased by 2.9% in November, signaling about the rising employment. This was confirmed by the report of the Australian Bureau of Statistics, which showed the growth of the employment by 54,600.

Aussie Gains on Outlook for Rates & Ireland’s Bailout

The Australia dollar rose today as the speculation about the possible bailout for Ireland increased demand for the higher-yielding assets, increasing the bets on the rates hike by the central bank.

Aussie & Kiwi Decline on Unemployment

The New Zealand and The Australian dollars fell today because the jobless claims in the US rose unexpectedly and equities dropped, damping the investors’ willingness to risk and decreasing the appeal of the higher-yielding currencies.

The initial unemployment claims rose to 484,000 from the previous week’s revised figure of 482,000. The analysts were totally wrong, expecting the decrease to 465,000. The MSCI World Index dropped as much as 1.1 percent. The Australian dollar also weakened after the unemployment rate unexpectedly increased from 5.1 percent in June to 5.3 percent in July, while the economists expected it to remain on the same level.

There are more and more evidences appear every day about the deteriorating of the global economy and the talks about the possible double-dip recession persist. In this kind of environment the riskier currencies have hard times to find the support.

AUD/USD traded at 0.8945 today as of 18:00 GMT after opening at 0.8969. NZD/USD fell from 0.7144 to 0.7078.