Aussie Dollar declines to 1.0672 in Asian Trading - Forex Update, July 1st 2011

View PDF | Print View
by: fxsolutions
Total views: 44
Word Count: 313
Date: Tue, 12 Jul 2011 Time: 5:33 AM
0 comments

Chris Advincula, Chief Market Analyst at FX Solutions (http://www.fxsolutions.com/), provides Forex traders with an overview of currency market activity and news on 1st July 2011, including news of a decline for the Aussie Dollar.

"The Australian Dollar eases down on a steady decline to 1.0672 against the advances made by the US Dollar from the intraday high in Europe of 1.0753. (lower by 81 pips or -0.75%). Risk-appetite for the Aussie subsides as investors unwind their long Australian denominated holdings for the US dollar.

The Aussie dollar rate was momentarily influenced to drop from 1.0703 to 1.0672 (- 31 pips) after the release of the Chinese June Purchasing Managers' Index which fell to 50.9 versus the median forecast of 51.3 (compared to 52.0 in May) as the manufacturing sector weakened for the third month, according to the data released by the China Federation of Logistics and Purchasing.

The US Institute for Supply Management Chicago Inc. announced that the Purchasing Manager's Index rose 61.1 in June from 56.6 in May, which was a higher-than-expected number by far compared to most analysts' forecast of 54.1. (a number above 50 indicates signs of expansion) There was a surprise increase of new manufacturing orders, while inventories were down.

Stocks surged in the U.S. The Dow Jones Industrial Average rose 152.92 points to 12,414.30 (+1.25%) while the Standard and Poor's 500 Index rose 13.23 points to 1,320.64 (+1.01%) Industrial, energy and technology companies led the gains rising by at least 1.4 percent. Caterpillar Inc, United Technologies Corp and 3M Co. all rose by an estimated 1.8 percent today.

The 30-day Exponential moving average eases down from 1.0730 to 1.0695."

For free daily video market commentary from FX Solutions, visit:
http://www.fxsolutions.com/learning-tools/education-center.asp

Forex trading involves substantial risk of loss and is not suitable for all investors.

About the Author

About FX Solutions

FX Solutions is a leading foreign exchange broker with a focus on advanced FX trading technologies, transparency of transaction and unparalleled customer service. FX Solutions serves retail clients, white label partners, institutional trading partners and introducing brokers in over 140 countries.

FX Solutions' products are regulated in the United States, United Kingdom and Australia. FX Solutions in the United States is regulated as a member of National Futures Association, and registered with the Commodity Futures Trading Commission as a Futures Commission Merchant. In the United Kingdom, FX Solutions is a registered trading name of City Index Limited which is authorized and regulated by the Financial Services Authority. FX Solutions in Australia is a registered trading name of City Index Australia Pty Ltd. which is authorized and regulated by the Australian Securities and Investments Commission.

For more information, please visit www.fxsolutions.com www.fxsol.co.uk and www.fxsolutions.com.au