The US Dollar has made a surprising U-turn against the commodity currencies.
With minimal releases today, the Aussie dollar lost ground as consumer confidence figures hit a 15 year low. The Australian economy is beginning to show signs of weakness and for that reason, we expect the unemployment rate to tick higher. After 4 months of strong job growth, Australian corporations are only expected to add 10K new jobs. New Zealand also did not report any new data, but investors are still recovering from yesterday’s plunge in the business opinion survey. Canada on the other hand is set to release its New Housing Price Index, which is expected to decline, as the once resilient economy feels the pressure of a US slowdown. IMF officials confirm that Canada will be affected by a US slowdown, as they cut their growth forecasts to 1.3%.
