Broad dollar strength and falling commodity prices have pushed the Australian, New Zealand and Canadian dollars lower.
New Zealand consumer prices rose by 3.2 percent on an annualized basis in the fourth quarter, which was stronger than expected, but that has failed to lift the Kiwi. Australia will be releasing its labor market report this evening. Although it may be difficult to match the healthy numbers reported in November, we still believe that Australia will report solid job growth. Later in the day, Canada will be releasing their report of international securities transactions. Foreign purchases of Canadian securities dropped significantly in the month of November, so a rebound is expected.