Aussie Got Stronger Due To Growth In Business Sentiment - 29.1.2013
The rapid growth of the euro slowed earlier this week. Going up to the next resistance around 1.35, the EURUSD currency pair retreated slightly around 1.34 on Monday and Tuesday trading sessions. This pause is occurred due to not bad statistics output in the US and also before the end of the two-day Federal Reserve meeting on Wednesday. The orders for durable goods in the world largest economy grew by 4.6% in December, exceeding the forecast growth by 2%, and now we are waiting for the output on consumer confidence. Signs of economic recovery in the US once again set a question - when the Fed starts cutting stimulus programs. In this regard, the important data on the economic growth rate in the 4th quarter of last year will be published tomorrow. According to projections the annualized GDP growth will be 1.2%, compared with 3.1% in the third quarter.
Strengthening of the single currency is in a sharp contrast with the British pound downfall against the US dollar yesterday, falling to 5-month low at 1.5674. The pressure on the British pound was increased in January on fears of reduced economic activity in the UK that creates conditions for further stimulus from the central bank, as well as the uncertainty concerning the fate of the United Kingdom in the EU. Euro against the British pound reached yesterday its highest level since July 2011 - 0.8586.
This morning, the Australian dollar was supported after the out coming data for December, showing a sharp rise in business sentiment. The Australian dollar was under pressure against the US dollar at lately, as the result the pair fell to the lowest level in January - 1.0383. The New Zealand dollar also showed an increase during the morning trading. The foreign trade data that came out from New Zealand early in the morning showed the strong growth in exports in December and a trade surplus at 486 million New Zealand dollars. The NZDUSD currency pair rose to 0.8372, compared to yesterday low at 0.8278.