A mixed week for the Australian and New Zealand dollars

Elsewhere, it has been a mixed week for the Australian and New Zealand dollars. In New Zealand, the gains logged on Monday were triggered by quarterly data showing a significant jump in factory output levels, and in Australia markets speculated ahead of the release of Reserve Bank monetary policy meeting minutes early on Tuesday morning. These gains were eradicated come Tuesday and Wednesday, as the minutes from the latest Reserve Bank of Australia meeting suggested that it is open to further cuts if needed to boost the economy, whilst the Reserve Bank of New Zealand suggested that its own currency was “over-valued”. Furthermore, rumours that the Federal Reserve will shortly begin to taper US monetary stimulus manifested once more – this caused a marked sell off for the commodity-back currencies. However, better than expected Chinese manufacturing data released yesterday helped reverse some of these loses. The Indian rupee has hit all-time lows, with speculation over the US monetary tapering has hitting it hard this week. It has been weakening at an alarming rate, so much so that the central bank has temporarily banned Indian citizens from purchasing properties abroad in an attempt to stem the sell-off that has been taking place. Today we have influential inflation data out of Canada. Get in touch for a live rate.