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Key Data Being Released Today
| Japan | – | Services PMI | |||
| United Kingdom | – | Core Retail Sales (MoM) (Nov) | |||
| PPI Input (MoM) (Nov) | |||||
| Retail Sales (MoM) (Nov) | |||||
| Composite PMI | |||||
| Manufacturing PMI | |||||
| Services PMI | |||||
| Eurozone | – | Manufacturing PMI (Dec) | |||
| S&P Global Composite PMI (Dec) | |||||
| Services PMI (Dec) | |||||
| CPI (YoY) (Nov) | |||||
Macro Report
Following a significant rally, the Aussie dollar has corrected all its gains. The AUD/USD pair plummeted over 2.5% on risk-off sentiment following a series of central banks’ interest rate decisions accompanied by hawkish guidance.
Shadowing the Federal Reserve, the Bank of England (BoE) has lifted its base rate by 50 basis points to 3.5%. The Swiss National Bank (SNB) and the European Central Bank (ECB) similarly hiked rates by 50 basis points following its policy meeting, raising its rates to 1.0% and 2%, respectively.
Overwhelmingly hawkish tones from central banks, underpinning market risk-aversion, have elevated the US dollar and led Wall Street to finish lower. The DXY, an index that measures the US dollar, is trading higher at around 104.5810, up 78% at the latest. As a risk-sensitive currency, the Aussie dollar suffers from the market’s broad risk-off mood, plummeting to a 0.66768 low. At the time of writing, the AUD/USD pair clings to the 0.6700 level, trading at 0.67029, down 0.95% for the day.
Adding to the depressed risk appetite, Australia’s PMIs revealed overall weakness in December. The country’s Manufacturing PMI fell to 50.4 from a prior 51.3 figure, while the Services PMI declined to 46.9 versus an earlier month’s print of 47.9.
AUD/USD Daily Chart
DXY (USD INDEX) Daily Chart
Major Global Markets
| Currencies | Level | Change (%) | |
| AUD/USD | 0.6701 | -0.03 | |
| AUD/JPY | 92.3300 | -0.02 | |
| AUD/CNH | 4.6803 | -1.70 | |
| DXY | 104.5810 | 0.78 | |
| Rates | Yield (%) | Change | |
| US 10 Year | 3.44 | 0.25 | |
| Aus 10 Year | 3.44 | -0.38 | |
| Equities | Level | Change (%) | |
| S&P 500 | 3,895.75 | -2.49 | |
| NASDAQ | 10,810.53 | -3.23 | |
| ASX 200 | 7,204.80 | -0.64 | |
| Commodities | Level | Change (%) | |
| Iron Ore | 110.00 | -0.45 | |
| Gold | 1,787.90 | -1.75 | |
| Brent Crude oil | 81.52 | -1.43 |
