Australian data eyed

May 20, 2021

Attention turns to Australia after quite a volatile session yesterday in which cryptocurrencies were hammered.

The euro and pound ended the session lower, thanks to a stronger USD. The EURUSD began the day at $1.22201 and lifted to a high of $1.22446 mid-session. It fell from those highs soon after and eventually hit a low of $1.21594 late in the day. It has come off those lows and is now trading at $1.21794. The GBPUSD opened the day at $1.41833 and edged up to a high of $1.42005 mid-session. Things went south form there as traders flocked to the USD, with the pound falling to a low of $1.40984 late. It is not far from those lows and is currently trading at $1.41058.

Indices were not immune to the sell-off overnight, with both the Dow and Dax suffering losses. The Dow commenced the day at 33,992.55 and ticked up to a high of 34,071.32 early. Declining from those highs, the Dow bottomed-out at 33,467.43 heading into late trading. It bounced off those lows in the final hours of the session and is now trading at 33.804.65. The Dax followed the Dow’s lead after it opened at 15,293.05. After nudging up to a high of 15,239.21 in the first hour of trade, the German index suffered losses throughout a large part of the day, hitting lows of 14,954.86 late. It clawed back some of those losses and is currently trading at 15,165.30.

The day ahead sees focus shift to Australia and the publication of jobs figures. The Australian economy is expecting to have added 17,500 jobs during the previous month, down from the 70,700 recorded in the month before. The Unemployment Rate is tipped to remain steady at 5.6%.

Other data released today includes:

NZ – Annual Budget Release

Europe – Current Account, German PPI, ECB President Christine Legarde speaks

UK – CBI Industrial Order Expectations, MPC Member Jon Cunliffe speaks

US – Unemployment Claims, Philly Fed Manufacturing Index, CB Leading Index, Natural Gas Storage

Canada – NHPI, ADP Non-Farm Employment Change, BoC Financial System Review, BoC Governor Tiff Macklem speaks


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