Welcome to our daily market update where we help keep you informed on the latest happenings in the world of FX and show you what this means for the Mighty Aussie Dollar.
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Key Data Being Released Today
| Australia – | Trade Balance (May) | ||||
| United States – | ADP Nonfarm Employment Change (Jun) | ||||
| Exports | |||||
| Imports | |||||
| Initial Jobless Claims | |||||
| Trade Balance (May) | |||||
| Canada – | Trade Balance (May) | ||||
Macro Report
The safe-haven boosted US dollar has held onto its gains and kept undollars in defensive mood; while the 10-year US Treasury yields rose, the 2-year/10-year yield curve remains inverted – a key recession indicator. Pressure continues for the Pound Sterling and Euro. The Aussie dollar, hammered post RBA’s 50 basis-points rate decision, remains suppressed at the 68-cent level.
Additionally, with mass testing following new Covid-19 clusters across China, the prospect of increased and fresh restrictions may continue to weigh down the Aussie dollar.
Crude oil prices continued to slide for a second day, along with a broader commodity downturn as recession fears pick up.
Focus is on the Federal Reserve as they revealed in the June 14-15 meeting minutes that policy markers are firm about the need to keep rates rising more aggressively and for longer to curb higher inflation. Doing so despite recession risks and reiterating a favoured 75 basis-point hike in the July meeting.
Today, Trade Balance data for May is anticipated for Australia, the United States and Canada. Australian data is expected to indicate a surplus of 10.725 billion, relative to a previous print of 10.495 billion.
AUD/USD Daily Chart
DXY (USD INDEX) Daily Chart
Major Global Markets
| Currencies | Level | Change (%) |
| AUD/USD | 0.6782 | 0.04 |
| AUD/JPY | 92.1420 | 0.03 |
| AUD/CNH | 4.5492 | -0.14 |
| DXY | 107.0960 | 0.53 |
| Rates | Yield (%) | Change |
| US 10 Year | 2.935 | 0.13 |
| Aus 10 year | 3.409 | -0.15 |
| Equities | Level | Change (%) |
| S&P 500 | 3845.08 | 0.36 |
| NASDAQ | 11361.85 | 0.35 |
| ASX 200 | 6594.40 | -0.52 |
| Commodities | Level | Change (%) |
| Iron Ore | 114.50 | 0.88 |
| Gold | 1739.71 | 0.05 |
| Brent Crude oil | 109.69 | -2.02 |