:: Australian Dollar: The Aussie Dollar was shaken yesterday after a disappointing set of retail sales figures and building approvals. The fall of 1.4% in retail sales and 3.3% in building approvals saw the Aussie immediately drop by 0.7% from 0.9205 to 0.9140. Moving offshore the Aussie reclaimed some of its earlier losses as positive news flowed from Europe whetting investor appetite. Unexpectedly poor US non-farm employment and Chicago manufacturing data saw the Aussie momentarily dip to an intra-day low of 0.9130 US. The Aussie opens this morning buying 0.9170 US Dollars ahead of today's Australian trade balance for February.

- We expect a range today in the AUD/USD rate of 0.9135 to 0.9200 

:: Great Britain Pound: The Pound continues its rally against the US Dollar despite U.K GFK consumer confidence revealing the first fall in three months. Lending support to the Sterling was better than expected economic news from its EU neighbours. The Pound momentarily traded over resistance of 1.5200 after soft US data and opens this morning at 1.5180 US Dollars but weaker against the Aussie and Kiwi at 1.6560 and 2.1365 relatively.

- We expect a range today in the GBP/AUD rate of 1.6475 to 1.6600 

:: New Zealand Dollar: Business confidence for March was down 42.5 from 50.1 in the previous month in New Zealand. Although business confidence was down from last month's ten year high it remained in healthy territory. Offshore the Kiwi traded tightly between 0.7070-0.7100 opening at 0.7105 this morning ahead of US unemployment reports this evening.

- We expect a range today in the NZD/USD rate of 0.7075 to 0.7125 

:: Majors: The improved German unemployment figures caught the market by surprise last night decreasing by 31000 claimants, the largest since 2008. The Greenback gave up all of its previous gains as the Euro rallied throughout the night. Increased Euro-Zone headline CPI of 1.5% added steam to the Euro's climb upwards to almost 1.3550 USD. Meanwhile with growing signs the global economic recovery is gathering momentum demand for refuge in the Yen dampened for the second day. The Yen reached its lowest level in three months against the US Dollar hitting 93.63 and opens this morning at 93.45 ahead of today's Tankan manufacturing report while the Euro is buying 1.3505 US dollars.

:: Data Releases:

  • AUD: Mar TD Securities Inflation Guage, Mar AiG Manufacturing Index & Feb Trade Balance
  • NZD: No Data Expected
  • USD: Mar ISM Manufacturing, Mar ISM Proces Paid, Feb Construction Spending
  • GBP: Mar Manufacturing PMI
  • EUR: Mar PMI & German Feb Retail Sales
  • JPY: Q1 Tankan