Australian Dollar Weak Despite Supportive Employment Data

The Australian dollar dropped on Thursday even though economic data released from Australia during the session was positive. The currency touched the lowest level in four years versus the yen.
Australian employment increased by 17,900 in May, exceeding the analysts’ forecast of 14,900. The previous month’s growth received a big negative revision from 10,800 to just 800. The unemployment rate remained steady at 5.7%.
The Aussie remained soft despite the positive report, though bounced from the session lows. The market sentiment was still negative due to uncertainty about the outcome of Britain’s referendum about an exit from the European Union. It made problematic for growth-related currencies (including the Aussie) to rise.
AUD/USD was down from 0.7406 to 0.7374 as of 23:30 GMT today while its daily low was at 0.7289. EUR/AUD went up from 1.5197 to 1.5231, touching the high of 1.5363 intraday. AUD/JPY slid from 78.51 to 77.05, and its session minimum of 75.66 was the lowest since June 2012.

If you have any questions, comments or opinions regarding the Australian Dollar,
feel free to post them using the commentary form below.

Leave a Reply

Your email address will not be published. Required fields are marked *