Australian economy starts to suffer

Elsewhere, a big mover yesterday was the Australian dollar. A statement from the Governor of the Reserve Bank of Australia eluded towards a rate cut at the next policy-makers’ meeting, scheduled for the 6th of August. Following these comments the Australian currency fell against all of its 16 most-traded peers, and to the weakest level in three years against is US counterpart. The Indian rupee lost ground against all of its 31 most-traded peers, and hit 10-year lows against sterling. The big shift was in response to the central bank keeping interest rates unchanged and saying that steps taken to tighten cash supply this month will be rolled back. The Swedish krona also struggled yesterday after GDP data showed that the Scandinavian economy had contracted unexpectedly over the last quarter. Despite the news, markets remain confident that Sweden will recover in the coming months, with the economic situation in the euro zone, an important export destination, starting to show signs of life. Overnight we saw business confidence data out of New Zealand, and later on today we will have monthly GDP data out of Canada. Get in touch for live rates