Edit Content

CAFX Market Update 30/12/2021

Welcome to our daily market update where we help keep you informed on the latest happenings in the world of FX and show you what this means for the Mighty Aussie Dollar.
If you have any questions or would like anything further explained, please don’t hesitate to reach out to your account manager or email info@cafx.com

Key Data Being Released Today Thursday the 30th of December 2021

  • Today
    • The macro calendar remains light in the Asia time zone.
  • Overnight
    • EUR Core CPI (Forecast 2.1%, Previous 2.1%)
    • USD Initial Jobless Claims (Forecast 208k, Previous 205k)
    • USD Chicago PMI (Forecast 62.0, Previous 61.8)

The Aussie Dollar – Fundamentals

Major currencies were mostly firmer against the US dollar in European and US trade. The Aussie dollar lifted from lows near US72.15 cents to highs near US72.72 cents and was near US72.50 cents at the US close.  The Euro rose from lows near US$1.1275 to highs near US$1.1367 and was near US$1.1350 at the US close.

Global oil prices lifted by around 0.5% on Wednesday ahead of the OPEC+ meeting scheduled for 4th of January.

In US economic data, the goods trade deficit rose from US$83.2 billion to US$97.78 billion in November (survey US$86bn). Pending home sales fell by 2.2% in November (survey +0.5%). Retail inventories (ex autos) rose 1.3% in November (survey +0.6%).  Wholesale inventories rose by 1.2% (survey +0.9%).

US & European sharemarkets were mixed overnight in the midst of surging Omicron cases.  Both the S&P (+0.14%)  and DOW (+0.25%) closed higher in thin trading, the NASDAQ lower on the day (-0.10%).  In Europe, the DAX in Germany closed lower  (-0.70%), while the UK FTSE closed higher (+0.70%).

Markets sentiment has been lifted in recently by signs the Omicron variant, while causing an increase in cases to record highs in many countries, is not leading to new, restrictions or lockdowns.

U.S. health authorities on Monday shortened the recommended isolation time for Americans with asymptomatic cases of COVID-19 to five days from a previous guidance of 10.

Risk-sensitive currencies such as the Australian, New Zealand and Canadian dollars, were higher, while stocks were mixed.

AUD/USD Daily Chart


Major Global Markets

  • Stocks
    • S&P 500 closed at 4793
    • NASDAQ closed at 15766
    • ASX 200 closed at 7509


  • Currencies
    • AUD/USD – At the time of writing this report trades at 0.7251
    • AUD/JPY – At the time of writing this report trades at 83.39
    • AUD/CNH – At the time of writing this report trades at 4.6192
    • DXY (US Dollar Index) – At the time of writing this report trades 95.903
    • AUD/EUR – At the time of writing this report trades 0.6389


  • Bonds
  • US 10-year Bonds are currently at 1.5531
  • Aussie 10-year Bonds are currently at 1.608
  • Commodities
  • Iron Ore 62% – Trading at USD/T 112.40
  • Gold – trading at USD/OZ 1804
  • Brent Crude Oil – Trading at USD/Bbl 79.23