Currency Note Worldwide

Chinese factory data supports commodity backed currencies

By Smart Currency September 24th, 2013

Elsewhere yesterday we saw the Japanese yen recover slightly from Friday’s one-week low against the US dollar. After heightened demand for higher yielding and riskier assets last week the yen had struggled. The Canadian dollar also logged gains yesterday, approaching three-months highs against its US counterpart. Canadian dollar strength was in anticipation of today’s retail sales data, which are forecast to show a rebound in July, after the worst monthly decline this year in June. The Australian dollar also started the week on a firm footing, as an independent survey of Chinese factory growth throughout September shows the biggest gains since March this year. As Australia’s top trading partner, this positive Chinese data is good news for the export-reliant economy.
Today, as mentioned, we have influential retail sales data out of Canada. Later tonight we also have monthly trade balance data out of New Zealand. Get in touch with your trader for the latest rates.