- AUD/USD offers approaching 0.6400 before the initial PMI Global PMI data for February.
- Investors believe that Trump’s tariff agenda is less fearful of expectations.
- Bulls support from RBA to keep a cautious position to reduce the interest rate.
The AUD/USD pair faces the pressure on about 0.6400 in the trading hours in North America on Friday. The Australian pair is weakened with the US dollar trading (USD) firmly before the issuance of the S&P Flash US & P at 14:45 GMT.
The US dollar index (DXY), which tracks the value of Greenback compared to six main currencies, rises to 106.75 after recovering from the lowest level (YTD) from the year to 106.30, which was published on Thursday.
flash PMI The report is expected to show that the total commercial activity expands at a faster pace due to the strong performance of manufacturing as well as the services sector. It is estimated that manufacturing and PMI services have expanded at a rate faster to 51.5 and 53.0, respectively.
An optimistic private sector PMI Data indicates strong strength Economic expectations. Such a scenario will be imposed Federal Reserve (Federal Reserve) responsible for continuing to maintain the position of restricted monetary policy.
However, the US dollar expectations are still unconfirmed as investors expect the US tariff agenda Donald Trump less fear. To date, the level of definitions that Trump imposes is much lower than what he pledged to the election campaign. Although Trump suggested a tariff for a large number of elements, investors expect his allies to be able to bargain with him, and the influence on the global economy will be much less than expected.
Meanwhile, the Australian dollar (AUD) is weakened against its main peers, with the exception of the Japanese yen (JPY), although the Australian Reserve Governor (RBA) Michelle Bullock repeated his position on maintaining caution in additional cash expansion. Bullock warned that the direction of inflation could stop if it is RBA Cuts attention Rates Very quickly.
Australian dollar price today
The table below shows the percentage of change in the Australian dollar (AUD) against the main currencies listed today. The Australian dollar was the strongest against the Japanese yen.
| US dollar | euro | GBP | JPY | CAD | Aud | Nzd | Chf | |
|---|---|---|---|---|---|---|---|---|
| US dollar | 0.26 % | 0.21 % | 0.48 % | 0.07 % | 0.30 % | 0.16 % | 0.25 % | |
| euro | -26 % | -06 % | 0.22 % | -0.20 % | 0.03 % | -11 % | -02 % | |
| GBP | -0.21 % | 0.06 % | 0.29 % | -0.14 % | 0.09 % | -05 % | 0.04 % | |
| JPY | -0.48 % | -0.22 % | -0.29 % | -0.38 % | -0.17 % | -0.33 % | -0.23 % | |
| CAD | -07 % | 0.20 % | 0.14 % | 0.38 % | 0.22 % | 0.08 % | 0.17 % | |
| Aud | -0.30 % | -0.03 % | -0.09 % | 0.17 % | -0.22 % | -0.14 % | -06 % | |
| Nzd | -16 % | 0.11 % | 0.05 % | 0.33 % | -08 % | 0.14 % | 0.09 % | |
| Chf | -0.25 % | 0.02 % | -04 % | 0.23 % | -0.17 % | 0.06 % | -0.09 % |
The heat map shows the percentage changes in the main currencies against each other. The basic currency is chosen from the left column, while the quotation currency is chosen from the top row. For example, if you choose the Australian dollar from the left column and move along the horizontal line to the US dollar, the percentage offered in the box will represent the (Base)/USD (Quote).
On the Economic Data Front, the COFTIVE Bank Composite directors in Australia expanded a little faster to 51.2 than 51.1 in January. PMI provides services to 51.4 out of 51.2, while. The Manager Participation Index in Manufacturing has risen to 50.6 of the previous reading of 50.2.
Questions and answers in Australian dollars
One of the most important factors for the Australian dollar (AUD) is the level of interest rates set by the Australian Reserve Bank (RBA). Since Australia is a resource -rich country, the other main engine is the largest export price, iron ore. The health of the Chinese economy, and the largest commercial partner, is a factor, as well as inflation in Australia, the rate of growth and trade is a balance. Market morale-whether investors are eating more risky assets (risk) or searching for safe materials (risk)-is also a worker, with positive risks for AUD.
The Australian Reserve Bank (RBA) affects the Australian dollar (AUD) by determining the level of interest rates that Australian banks can persuade each other. This affects the level of interest rates in the economy as a whole. The main goal of RBA is to maintain a stable inflation rate of 2-3 % by setting interest rates up or down. Relatively high interest rates are supported compared to other main central banks, and relatively low vice versa. RBA can also use and tighten quantitative dilution to influence credit conditions, with previous AUD negative and positive to AUD.
China is the largest commercial partner in Australia, so the health of the Chinese economy is a major impact on the value of the Australian dollar (AUD). When the Chinese economy does a good job, it buys more raw materials, commodities and services from Australia, raising the demand for AUD, and raising its value. The opposite is the case when the Chinese economy does not grow at the speed available. Positive or negative surprises in Chinese growth data, therefore, they often have a direct impact on the Australian dollar and its wives.
Iron Ore is the largest export in Australia, as it represents 118 billion dollars annually according to data from 2021, with China as its main destination. Therefore, the price of iron ore can be an engine for the Australian dollar. In general, if the price of iron ore rises, the AUD also rises, as the total demand for the currency increases. The opposite is the case if the price of iron ore decreases. Iron ore prices also tend to increase the possibility of a positive commercial balance for Australia, which is also positive for AUD.
The commercial balance, which is the difference between what a country gains from its exports in exchange for what it pays to its imports is another factor that can affect the value of the Australian dollar. If Australia produces very required after exports, its currency will obtain a value of the excess demand created from foreign buyers who seek to buy its exports in exchange for what it spends to buy imports. Therefore, the positive net trade balance enhances AUD, with the opposite effect if the trade balance is negative.
2025-02-21 14:19:58