Daily Forecast - 11/01/2009

01 November 2009 @ 05:59 pm EDT

Australian Dollar: The Australian Dollar begins the new week sharply lower against the greenback at 0.8990. After a local session of range-trading on Friday which saw the Aussie move as high as 0.9174, volatility returned offshore as U.S consumer spending fell 0.5 per cent in September as economic stimulus starts to dry up. High yielding currencies came under selling pressure throughout the New York trading session as the data indicated that consumers will make a limited contribution to the recovery without government stimulus. The Aussie hit an overnight low of 0.8978. Should local equities begin the day on a weak note, the Aussie is likely to spend most of today below US90 cents.

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