Market Update – 4th July 2019 – AUD Climbs While Dow Jones Reaches Fresh All Time Highs

Please note that the commentary below is factual information provided to a group of readers as a web blog, and where an opinion is expressed by the author, it is GENERAL ADVICE only.

AUD Climbs:

Some positive moves overnight with respect to the AUD as all the major Aussie Dollar crosses climbed amid positive sentiment across markets. U.S and European equities rose while the Dow Jones reached all time highs as the U.S Fed looks likely to further stimulate the economy with fresh rate cuts. Further QE or stimulus could also be on the way if Donald Trump gets his way and installs a new U.S Fed Chief who is more inclined to his way of thinking.

Despite RBA Rate Cut:

Earlier in the week you might have seen the RBA cut interest rates by 25 basis points. This is the second consecutive interest rate cut and Aussie 2 year bond yields suggest another rate cut could be forthcoming before the end of the year. Ordinarily a cut in interest rates would see the AUD fall against the majors, however rhetoric out of the U.S that we could see rate cuts there has sort of offset any losses. And surprisingly today, AUD/USD is back above 0.7000.

Retail Sales are due out this morning at 11.30am while the 4th of July Bank Holiday takes place in the U.S tonight.


AUD/USD – 0.7004

AUD/GBP – 0.5560

AUD/EUR – 0.6201

AUD/NZD – 1.0450

AUD/JPY – 75.511


All Ords (XAO) – 6,770

Gold – A$2,014/oz

Silver –  A$21.75/oz

WTI – US$57.31/barrel


AUD – Retail Sales m/m n at 11.30am

USD – Bank Holiday

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



Patrick's Signature-802090-edited.jpg

Patrick Downes

Senior Corporate FX Dealer

Phone Patrick – 0431 278 632 



The information provided in this report has been prepared without taking into account your particular objectives, financial situation or needs. You should consider whether our products are appropriate for you and read the FSG and PDS which are available on this website.
This report and must not be copied, either in whole or in part, or distributed to any other person.
All references to prices, amounts and currency are in Australian dollars unless otherwise noted.
This report is provided for Australian residents only and is not intended for use by residents of any other country.

Leave a Reply

Your email address will not be published.