The US dollar fell to two-week lows against its major rivals yesterday after concerns over the US economy’s resilience sapped USD demand.
The AUD sell-off was exacerbated by domestic coronavirus concerns, as rising cases prompted authorities to extend Sydney’s lockdown through to the end of September.
The AUD selling bias also overshadowed the publication of Australia’s latest jobs report, which may have overwise bolstered the ‘Aussie’ after reporting unemployment unexpectedly dropped to a 12-year low in July.
Turning to this week, we have already seen the Australian dollar begin to recoup some of last week’s losses amidst a dramatic improvement in market sentiment at the start of the session.
However, the upside potential of the ‘Aussie’ looks to potentially be capped by the upcoming release of Australia’s latest retail sales figures, which are expected to report another slump in domestic sales growth last month as a result of the ongoing lockdowns.
Joining the corporate trading desk in 2007, Phil now over sees all of Currencies Direct’s corporate dealing activity. Having gained experience working with hundreds of businesses to optimise international payments processes and execute comprehensive risk management strategies, Phil currently works with a portfolio of corporate clients whilst managing Currencies Direct’s overall market exposure
Phil has FCA approval and has completed the Certificate in International Treasury Management (CertiTM)