Australian Dollar Rebounds After Falling on China’s Data

The Australian dollar dipped intraday following the economic releases in Australia and China. While Australia’s indicators were within expectations, China’s reports were disappointing. The currency has rebounded by now, trading near the opening level.
The Australian Bureau of Statistics reported that both the headline Consumer Price Index and the trimmed mean CPI rose by 0.4% in the September quarter of 2018 from the previous three months. Analysts had predicted a bit bigger increase by 0.5% for the CPI, while the trimmed mean CPI matched expectations. The Reserve Bank of Australia reported that private sector credit rose by 0.4% in September from the previous month, within expectations as well.
Meanwhile, China’s official manufacturing Purchasing Managers’ Index fell to 50.2 in October from 50.8 in the previous month, below the average forecast of 50.6. The non-manufacturing PMI dropped to 53.9 this month from 54.9 in September, also missing the analysts’ forecast of 54.7.
AUD/USD traded close to its opening level of 0.7103 by 12:03 GMT today after falling to the low of 0.7072 intraday. EUR/AUD retreated to 1.5969 following the rally to 1.6034. AUD/JPY declined to 80.04 before rebounding to 80.34.

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