- The Australian dollar is progressing because the US dollar can fight because of growing economic problems in the USA.
- Anz work ads fell by 1.2% in May, deepening from the amended 0.3% inheritance in April.
- Trump plans to raise import tariffs to steel and aluminum to 50% from 25%.
Australian dollar (AUD) was appreciated against American dollar (USD) On Monday by over 0.50%. The Aud/USD pair increases when green can face challenges in connection with the growing fears of ponderous growth and re -inflation in United States (US). US President Donald Trump threatened a double import of tariffs on steel and aluminum, increasing them to 50% from 25%.
Anz work ads fell by 1.2% in May, after a changed drop in 0.3% in the previous month. Australian work ads fall on a second month in a row. In addition, the S&P Global Manufacturing Buxing Managers (PMI) index dropped to 51.0 in May from 51.7 earlier, falling to the second month in a row to the lowest level from February.
Responding to the US accusations, without reducing the tariffs, as agreed, the spokesman for the Chinese Ministry of the Commercial said on Monday that China followed the contract, cancellation or suspension of appropriate tariff and non -artistic means addressed to us “mutual tariffs”.
The audience is maintained based on the index of the Minaging Managers Managers (PMI) index published on Saturday. National Bureau of Statistics (NBS) showed that Chinese production PMI increased to 49.5 in May, from reading 49.0 April. Meanwhile, PMI fell without production to 50.3 from the previous number 50.4, not reaching the expected reading 50.6. Chinese economic data can influence the Australian dollar, because both countries are partners of trade close.
Australian dollar dollar in connection with the growing fears of US growth, inflation
- The American dollar indicator (DXY), which measures the value of Greenback compared to the six main currencies, maintains the ground at the time of writing 99.50. Traders are looking for fresh tips on the release of the American index of Manufacturing Manufacturing Manufacturing (PMI) to May, which is to be later in the North American session.
- US President Donald Trump said on Friday at a rally in Pennsylvania that he was planning to double duties importing steel and aluminum to raise the pressure on global steel producers and intensify the trade war. “We will impose an increase of 25%. We will bring it from 25% to 50% – tariff to the United States of America, which will protect the steel industry even more in the United States,” he said, per reuters.
- A three -person panel in the International Trade Court in Manhattan suspended US President Donald Trump from applying the “Liberation Day” tariffs before entering. The federal court stated that Trump had exceeded its authority in applying wide import tariffs and announced executive orders issued on April 2 unlawful. However, on Thursday, the US Court of Appeal for the Federal District in Washington temporarily allowed the Trump tariffs to apply.
- On Friday, Trump accused China of violating the truce on tariffs achieved at the beginning of this month. Washington and Beijing have temporarily agreed the lower mutual tariffs at the meeting in Geneva. Trump said China “completely violated the contract with us.” Jamiesson Greer, a representative of the US trade, also said that China did not remove the barriers of a non -agreement as agreed.
- Securities in China reports that analysts believe that the People’s Bank China (PBOC) may raise obliged additional loans (PSL). This movement would provide economical, long -term financing of politics banks, which in turn support government sectors such as flats, urban reconstruction and immense infrastructure projects.
- Seasonally corrected retail sales in Australia fell by 0.1% of the month of the month in April, compared to the expectations of remaining coherent at 0.3% growth. Meanwhile, monthly building permits fell by 5.7%, compared to the expected raise by 3.1%.
- The Reserve Bank of Australia (RBA) is expected to provide more interest rate discounts at upcoming policies. The Central Bank recognized the progress in limiting inflation and warned that US-China’s trade barriers were a risk for economic growth. Governor Michele Bullock said that RBA is prepared to take additional actions, if the economic perspectives deteriorate rapidly, increasing the perspective of future interest rate reductions.
Australian dollar collections from 0.6450 support near nine EMA days
Aud/USD trades around 0.6460 on Monday, which indicates the strengthening of stubborn prejudices. Technical analysis Daily Taber suggests that the couple is entering the growing channel pattern. The brief -term price rush strengthens when the steam moves above the nine -day interpretation of the movable medium (EMA). In addition, the 14-day relative strength (RSI) indicator increases over 50 years, which is suggested by stubborn stubborn.
The Aud/USD pair can direct the initial barrier to 0.6537, seven -month high registered on May 26. The break above this key retaining zone can strengthen the stubborn bias and support the pair to explore the region around the upper border of the ascending channel about 0.6650.
On the other hand, immediate support appears on a nine -day EMA 0.6445, leveled with the lower border of the channel growing about 0.6440. The break below this key support zone may weaken the stubborn prejudice and bring a pair of Aud/USD to testing 50-day EMA at 0.6388.
Aud/USD: Daily Chart
Australian dollar price today
The table below shows a percentage change in the Australian dollar (AUD) compared to the stock exchange of the main currencies. The Australian dollar was the strongest in relation to the American dollar.
| USD | EUR | GBP | JPy | BOOR | Aud | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | -0.60% | -0.59% | -0.59% | -0.39% | -0.68% | -0.90% | -0.52% | |
| EUR | 0.60% | -0.00% | 0.02% | 0.19% | -0.07% | -0.34% | 0.07% | |
| GBP | 0.59% | 0.00% | 0.02% | 0.20% | -0.07% | -0.33% | 0.07% | |
| JPy | 0.59% | -0.02% | -0.02% | 0.20% | -0.10% | -0.34% | -0.03% | |
| BOOR | 0.39% | -0.19% | -0.20% | -0.20% | -0.28% | -0.53% | -0.13% | |
| Aud | 0.68% | 0.07% | 0.07% | 0.10% | 0.28% | -0.20% | 0.22% | |
| NZD | 0.90% | 0.34% | 0.33% | 0.34% | 0.53% | 0.20% | 0.40% | |
| CHF | 0.52% | -0.07% | -0.07% | 0.03% | 0.13% | -0.22% | -0.40% |
The heat map shows percentage changes in the main currencies towards each other. The basic currency is collected from the left, and the quote currency is collected from the upper order. For example, if you choose the Australian dollar on the left column and move along the horizontal line to the American dollar, the percentage shift displayed in the field will represent the Aud (base)/USD (quote).
Australian dollar questions
One of the most crucial factors of the Australian dollar (AUD) is the level of interest rates determined by the Reserve Bank of Australia (RBA). Because Australia is a country prosperous in resources, another key driver is the price of its greatest export, iron ore. The health of the Chinese economy, its largest trade partner, is a factor, as well as inflation in Australia, growth rate and commercial balance. Market sentiments-not meaninglessly from whether investors take more risky assets (risk) or are looking for safe-havens (risk)-there is also a factor and a positive risk for AUD.
Bank Reserve Australia (RBA) affects the Australian dollar (AUD), setting the level of interest rates that Australian banks can borrow each other. This affects the level of interest rates in the economy as a whole. The main goal of RBA is to maintain a stable inflation rate of 2-3% by adjusting interest rates up or down. Relatively high interest rates compared to other main central banks support Aud and contrary to relatively low. RBA can also apply quantitative alleviation and tightening to affect credit conditions, with a former negative Aud and the second positive Aud.
China is the largest trading partner in Australia, so the health of the Chinese economy has a immense impact on the value of the Australian dollar (AUD). When the Chinese economy is doing well, it buys more raw materials, goods and services from Australia, raising the demand for Aud and increasing its value. On the contrary, when the Chinese economy does not grow as speedy as expected. Therefore, positive or negative surprises in Chinese growth data often have a direct impact on the Australian dollar and its steam.
The ore of iron is the largest export in Australia, which is $ 118 billion a year according to the details of 2021, and China as the main destination. Therefore, the price of iron ore can be the driving force of the Australian dollar. Basically, if the price of iron ore increases, the audience also increases, as the aggregate demand for currency increases. Otherwise, the price of iron ore will fall. Higher prices of iron ore also cause a greater probability of a positive trade balance for Australia, which is also positive for AUD.
The commercial balance, which is the difference between what the country earns on exports compared to what it pays for imports is another factor that can affect the value of the Australian dollar. If Australia produces a highly sought after export, its currency will gain value only from the surplus of demand created by foreign buyers who want to buy exports compared to what it spends on buying imports. Therefore, a positive net trade balance strengthens Aud, with reverse effect if the trade balance is negative.
