Market Update – 11th July 2018 – Base Metal Commodities Slide Again Lead By Zinc & Iron Ore, AUD Down As A Result

The Aussie Dollar fell marginally overnight following another sell-off in base metals that saw Zinc lead the pack lower testing 2,600USD a tonne after reaching as high as 3,600USD a tonne in late February. Iron ore and Copper also fell and remain very much out of favour since Trump started to postulate about trade war and tariffs in Feb. Overall we’re down about half a percent vs. the USD and EUR while AUD/GBP has fallen around 1% following big gains on Monday evening.

U.S equities finished the session higher but have since lost ground on the futures market in the early part of this morning which will drag on the ASX – the ASX looks set to open about 0.2% lower on the back of this and the weaker commodities prices.

Economic data out today included home loan numbers and Westpac Consumer Sentiment – both are out this morning and probably won’t have any more than a minimal impact on the AUD today. Home loan numbers are expected to contract by 1.9% which would be a 6th straight month of contraction in the housing and home loans market. Westpac Consumer Sentiment doesn’t have a forecast but if the last year of data is anything to go by then expect more flat numbers here.

AUD EXCHANGE RATES:

AUD/USD – 0.7433

AUD/GBP – 0.5603

AUD/EUR – 0.6336

AUD/NZD – 1.0900

AUD/JPY – 82.498

USD/BTC – $6,339

OTHER MARKETS: 

All Ords (XAO) – 6,366

Gold – A$1,689/oz

Silver –  A$21.60/oz

WTI – US$73.06/barrel

DATA RELEASES TODAY:

AUD – Westpac Consumer Sentiment at 10.30am

AUD – Home Loans m/m at 11.30am

Sign up for a Compass account today and access some of the most competitive rates in the business and arguably the best service.

 

{{cta(‘b4d1fdf3-9b81-4df4-87c2-23257194f470’)}} 

Patrick's Signature-802090-edited.jpg

Patrick Downes

Senior Corporate FX Dealer

Phone Patrick – 0431 278 632 

  {{cta(’22fd720b-8ddc-4846-85e4-6ab59d459f68′)}}

CompassFB-1

 

Leave a Reply

Your email address will not be published.