:: Australian Dollar: The local unit found some support in Asian trade on Friday bouncing back from early morning lows near 0.7240 to enter offshore trade retesting intraday highs near 73 cents. A weaker Japanese Yen saw an early European rush for AUD/JPY that pushed the cross towards 73 taking AUD/USD higher with it. Despite some strong selling ahead of 0.7350 the little Aussie battler bounced back from what appears to be some solid short term support around 0.7250 to open this morning back at 0.7325. Today sees the release of April TD Inflation gauge, Q1 House Price index and Apr ANZ Job advertisements ahead of what is a massive week on the local data front.
- We expect a range today in the AUD/USD rate of 0.7275 to 0.7350
:: Great Britain Pound: Better than expected April manufacturing PMI data out of the UK helped the Pound Sterling higher in early London trade on Friday. The market ignored the news of consumer lending growth sinking to an all time low in March and the GBP/USD roared from 1.4770 to 1.4935 in a frenzy of early buying and despite a brief dip the cable opens this morning at 1.4920. The cross rate opens at 2.0330 after peaking near 2.0500 ahead of what is a big week on the Australian economic data front.
- We expect a range today in the GBP/AUD rate of 2.0250 to 2.0450
:: New Zealand Dollar: The Kiwi benefited from some increased risk appetite on Friday as offshore investors took to buying all things against the Japanese Yen. The NZD/JPY cross rate rallied almost 3% from early New Zealand lows below 55.50 to post an eventual high at 57 taking the NZD/USD higher with it. The Kiwi opens this morning near the top end of the recent range at 0.5725 ahead of this mornings first quarter private sector labour cost data and average hourly earnings.
- We expect a range today in the NZD/USD rate of 0.5680 to 0.5780
:: Majors: An increase in Japanese unemployment to its highest level since 1967 weighed on the Yen during Friday's Asian session. With the jobless rate jumping from 4.4% in February to a higher than expected 4.8% in March JPY selling saw USD/JPY increase from 98.50 to enter offshore trade marginally above 99. The theme continued during European trade as the big dollar attempted but failed on several occasions to break through its high's at 99.55. With no European economic data released on Friday currency markets focused their attention towards U.S economic data. In what was a mixed session April forecasts for the University of Michigan's confidence survey surprised to the upside as too did Ism Manufacturing however march Factory orders declined by 0.9% against expectations of only a 0.6% fall. The big dollar traded sideways in all of this to finish the week at 99.25 and 1.3270 in exchange with the Japanese Yen and Euro respectively.
:: Data Releases:
AUD: Apr TD Inflation gauge, Q1 ABS House prices & Apr ANZ job Ads
NZD: Q1 Private Sector Labour Costs & Q1 Avg Hourly Earnings
USD: Mar Pending Home Sales & Mar Construction Spending
GBP: No Data Expected today
EUR: Apr PMI, German Mar Retail Trade & German Apr PMI
JPY: No Data Expected today
CAD: No Data Expected today