The Australian dollar advanced today as domestic employment data was surprisingly positive, especially compared to rather pessimistic forecasts. This allowed the currency to bounce from multi-year lows it had touched against the US dollar and the Japanese yen previously.
Australian employment rose by 7,300 in June from the previous month while experts promised a drop by 2,100. The May’s huge increase was revised slightly from 42,000 to 40,000. The unemployment increased by 0.1 percentage point to 6.0 percent but was still below the predicted level of 6.1 percent.
Outside of Australia, fundamentals were also supportive for the currency. The trading environment on the Forex market was much less averse to riskier currencies on Thursday compared to the previous trading sessions of this week. One of the reasons for the improving sentiment of market participants was the recovery of the Chinese stock market.
AUD/USD edged up from 0.7427 to 0.7445 as of 21:22 GMT today. EUR/AUD dropped from 1.4907 to 1.4809. AUD/JPY rallied from 89.64 to 90.36.
If you have any questions, comments or opinions regarding the Australian Dollar,
feel free to post them using the commentary form below.