:: Australian Dollar: The Australian Dollar opens lower today at 0.9130 after a stronger than expected jobs report on Friday night bolstered the greenback. The U.S. Labour Department report showed that 11,000 jobs were shed in November, far less than the 125,000 expected by financial markets, pushing the unemployment rate back down to 10 per cent. The Aussie once again ran into strong resistance just beneath the US93 cent mark before falling quite sharply on the U.S. employment news hitting an overnight low of 0.9107. Also weighing on the local unit was a sharp fall in gold which lost US$50 an ounce.
- We expect a range today in the AUD/USD rate of 0.9060 to 0.9220
:: Great Britain Pound: Pound Sterling opens lower today at 1.6425. After a brief rally early in the session on the back of stronger local equities, the pound hit an intraday low of 1.6421 after stronger than expected U.S. employment data bolstered the greenback across the board. The U.S. Labour Department report showed that 11,000 jobs were shed in November, far less than the 125,000 expected by financial markets, pushing the unemployment rate back down to 10 per cent. Meanwhile, the pound opens higher today against both the Australian Dollar (1.7960) and the New Zealand Dollar (2.2960).
- We expect a range today in the GBP/AUD rate of 1.7810 to 1.8050
:: New Zealand Dollar: The New Zealand Dollar opens the new week lower at 0.7140 after another volatile session which saw the currency trade between a high of 0.7270 down to 0.7132. The local market bought the kiwi on Friday in anticipation of key U.S. employment data, however the jobs report showed that just 11,000 positions had been shed in November which sparked a greenback rally. Locally, the focus will turn to the Reserve Bank of New Zealand''s monetary policy statement on Thursday. The official cash rate is expected to remain on hold.
- We expect a range today in the NZD/USD rate of 0.7110 to 0.7230
:: Majors: The Euro opens lower today at 1.4850 after another volatile session in which the 15-nation currency traversed a wide range (1.4821 - 1.5090). The Euro rallied to a high of 1.5090 after European Central Bank President Jean-Claude Trichet signalled a withdrawal of stimulus measures faster than economists had anticipated. The move all but paves the way for higher Euro zone interest rates in 2010. However, the Euro fell sharply late in the session to a low of 1.4821 after a better-than-expected U.S. jobs report. The greenback rallied across the board and as much as 2.8 per cent against the Japanese Yen to 90.77 after 11,000 jobs were shed in November - far lower than the 125,000 expected by most economists. In the past week, the Yen has dropped 4.7 per cent against the big dollar to record its biggest weekly decline in 10 years on speculation Japan's currency will regain its status as the primary funding vehicle for higher-yielding investments.
:: Data Releases:
- AUD: ANZ job ads, Nov
- CAD: Building permits, Oct
- EUR: German factory orders, Oct
- GBP: No data today
- JPY: Trade Balance, Oct
- NZD: No data today
- USD: No data today
:: Note: The above exchange rates are based on interbank rates. If you are considering a transfer then please login, register or call us for a live dealing rate.