Economic Data

  • New Zealand Trade Balance for November –NZD 269 million from –NZD 487.00 million in October (expectations –NZD 400 million). Imports NZD 3.34 billion, expectations NZD 3.4 billion. Exports NZD 3.07 billion, expectations NZD 3.0 billion.
  • Australian Retail Sales in November + 1.4% from +0.3 % (expectations +0.4 %)
  • Australian Trade Balance in November –AUD 1.7 billion from –AUD 2.38 billion the previous month (expectations –AUD 1.8 billion). Imports fell by a seasonally adjusted 3 % and exports fell by 2 %

News

  • Former Labour Party Cabinet Members Geoff Hoon and Patricia Hewitt see their attempt for a secret leadership ballot quashed. Senior Cabinet Members side by Gordon Brown for the moment??
  • Japanese Deputy Prime Minister, Naoto Kan, appointed new Finance Minister following the resignation of Hirohisa Fujii because of health problems.

Currencies

  • Euro had a quiet start to the session came to life on the back of the Aussie data spiking to it’s session high of 1.4445 before falling off as the dollar came back into play and for the latter part of the session has bounced within the 1.4395 – 1.4410 range.
  • Japanese Yen weakened against the dollar in light of the appointment of the new Finance Minister Kan making a low of 92.44. The currency has since traded around 92.25 before being sold off to test the session lows. A bounce in quiet markets and we are now back to 92.30.
  • Sterling following the Euro pattern and reacting to the Aussie data with a high of 1.6056. The latter part of the session boxed between 1.6000 and 1.6010.
  • Dollar Swiss was the leader in the second half of the session leading the dollar higher as it tried in vain to break 1.0300, has since slipped to trade around 1.0275 before a new bounce in the dollar has it back higher knocking on the door of 1.0300 at 1.0290.
  • Aussie spiked to a high of 0.9265 in reaction to the far better than expected Retail Sales data but has since given most of the gains back and now finds solace around 0.9225
  • Kiwi showed virtually no reaction to the New Zealand Trade deficit narrowing in November but tracked higher on the back of the Aussie data to 0.7424 and then like the Aussie, Euro and sterling gave back some of its gains consolidating now around 0.7385.

Ranges

EUR/USD 1.4393 – 1.4445 USD/JPY 92.14 – 92.44 GBP/USD 1.5992 – 1.6056 USD/CHF 1.0239 – 1.0288 USD/CAD 1.0294 – 1.0339 AUD/USD 0.9183 – 0.9265 NZD/USD 0.7359 – 0.7424

Rates as at 12.00 am

EUR/USD 1.4398/02 USD/JPY 92.28/31 GBP/USD 1.6002/06 USD/CHF 1.0286/90 USD/CAD 1.0325/30 AUD/USD 0.9222/26 NZD/USD 0.7382/86 EUR/JPT 132.86/90 EUR/GBP 0.8994/98 Gold 1132.90/1133.80 Dollar Index 77.730 (+0.075) Oil 82.72

Have a great day