Australian Dollar (AUD) Leaps amid Signs of Chinese Covid Restriction Easing
A return of global risk appetite bolstered The Australian Dollar (AUD) yesterday. Signs that Chinese authorities could tweak their ‘zero-Covid’ approach also boosted AUD.
Optimistic comments from Reserve Bank of Australia Governor (RBA) Philip Lowe added to the currency’s upward momentum.
Looking ahead, a speech from RBA policymaker Jonathan Kearns could prompt movement in AUD today. Will he echo the tone from Lowe and help push the ‘Aussie’ higher?
New Zealand Dollar (NZD) Pushed Higher by Risk-On Mood
The New Zealand Dollar (NZD) benefitted from a risk-on market mood on Tuesday. Bets on further rate hikes from the Reserve Bank of New Zealand (RBNZ) also pushed NZD higher.
A further downturn in business confidence could pull the ‘Kiwi’ lower today. Any shifts in risk appetite could also affect the currency.
Pound (GBP) Climbs as BoE Policymaker Signals Further Rate Hikes to Come
The Pound (GBP) rose on Tuesday. Sterling was pushed higher by hawkish comments from Bank of England (BoE) policymaker Catherine Mann.
The UK’s poor outlook kept gains for GBP limited, however. Mortgage approvals fell amid fears the country’s housing market could slow soon.
A speech from BoE chief economist Huw Pill could help GBP to climb if he echoes Mann’s hawkish stance.
Euro (EUR) Gains Despite Signs of Cooling Inflation
The Euro (EUR) edged higher on Tuesday despite a largely risk-on market mood. Signs of cooling German inflation also weighed on EUR.
On the other hand, an uptick in Eurozone economic sentiment bolstered the single currency.
A downturn in Eurozone inflation could pull EUR lower today. Higher German unemployment data could cap any gains for the Euro.
US Dollar (USD) Firms amid Hawkish Comments from Fed Policymakers
The US Dollar (USD) ticked higher yesterday. A largely risk-on trading sentiment kept gains for the safe-haven ‘Greenback’ limited, however.
Hawkish comments from several Federal Reserve policymakers boosted USD on Tuesday. Fed policymakers signalled that the central bank would continue to hike interest rates.
A drop in employment change figures could pull USD lower today. On the other hand, confirmation of a sharp rebound in third quarter GDP could support the currency.
Canadian Dollar (CAD) Slides as GDP Figures Disappoint
The Canadian Dollar (CAD) tumbled on Tuesday after below-forecast GDP growth figures. CAD found some support from an uptick in oil prices, however.
With no significant data today, CAD is likely to be affected by any changes in crude oil prices.
Data Releases
Nov 30th 10:00 AUD RBA Kearns Speech
Nov 30th 10:00 NZD ANZ Business Confidence (Nov) -38
Nov 30th 10:00 GBP BoE Pill Speech
Nov 30th 20:00 EUR Inflation Rate (Nov) 10.4%
Nov 30th 23:15 USD ADP Employment Change (Nov) 200,000
Nov 30th 23:30 USD GDP Growth Rate (Q3) 2.7%