Australian dollar struggled as the ASX 200 Index fell.
On Wednesday, the Australian Dollar (AUD) aims to extend its advances for the second straight session. However, the US Dollar (USD) fell due to downward pressure on US Treasury yields, providing support for the AUDUSD pair. Furthermore, the decrease in the ASX 200 Index adds to the pressure on the AUD.
The Australian Industry Group Industry Index improved to -5.3 from -14.9 previously.
The Australian Industry Group’s Industry Index showed improvement in February, rising to -5.3 from -14.9. Similarly, the Manufacturing PMI fell to -7 from its previous reading of -12.6. According to Westpac’s summary of the Reserve Bank of Australia’s (RBA) March meeting minutes, the current cash rate level is deemed appropriate for the current situation, albeit conditions may change in the future.
The US dollar is under pressure following dovish remarks from Fed members.
The US Dollar Index (DXY) is facing challenges following dovish remarks from Federal Reserve (Fed) officials. Loretta Mester, president of the Cleveland Fed, said on Tuesday that she expects rate reduction later this year. Concurrently, San Francisco Fed President Mary Daly stated that three rate cuts in 2024 appear “reasonable,” pending additional strong evidence to support such a decision.
Daily Market Movers: The Australian dollar falls against a lower ASX 200.
On Wednesday, the Australian Dollar (AUD) aims to extend its advances for the second straight session.
AiG The construction PMI fell to -12.9 in February, down from -18.4 the previous month.
In March, Australia’s TD Securities Inflation (YoY) was 3.8%, compared to the prior increase of 4.0%.
The Melbourne Institute’s Monthly Inflation Gauge rose 0.1% in March, after falling 0.1% the previous month.
ANZ Job Advertisements fell by 1.0% in March, following a 2.1% fall the previous month.
RBA According to the March meeting minutes, the board did not consider hiking interest rates. They all agreed that it was difficult to foresee future changes in the cash rate. While the economic picture remained uncertain, the risks appeared to be somewhat balanced. The board admitted that it would require They needed “some time” before they could be confident that inflation would return to the desired level.
China’s Services PMI rose to 52.7 in March, up from 52.5 the month before.
The China’s Caixin Manufacturing PMI rose to 51.1 on Monday, beating expectations of 51.0 and 50.9.
China’s National Bureau of Statistics (NBS) stated on Sunday that the monthly NBS Manufacturing PMI increased to 50.8 in March from 49.1 the previous month. Furthermore, the NBS Non-Manufacturing PMI rose to 53.0 in March from 51.4 in February.
Following November, US President Joe Biden spoke with Chinese President Xi Jinping over the phone. During the call, the two leaders engaged in an open and cordial dialogue about a variety of bilateral, regional, and global issues, addressing both areas of agreement and points of disagreement.
Treasury Secretary Janet Yellen is scheduled to visit China. This week, she will meet with China’s Finance Minister as well as economists, students, and business leaders.
The US ISM Manufacturing PMI showed a surprising gain in March, rising to 50.3 from 47.8 in February and exceeding estimates of 48.4. This reading was the highest recorded since September 2022.
In March, US ISM Manufacturing Prices Paid climbed to 55.8, compared to expectations of 52.6 and 52.5.
