The Australian dollar is in no hurry to grow
20.01.2015
Despite the stable statistics and forecasts, the AUD/USD pair is in no hurry to grow, and the investors know that the RBA is against an expensive AUD.
On Tuesday the Australian dollar is trading fairly quiet during the European session, although in Asian trade movements were more energetic. The reason is in the statistics.
According to the published data, China's GDP at the end of the fourth quarter of 2014 increased by 7.3% y/y, which is slightly higher than the estimated average expectation of 7.2%. By the way, at the end of 2013 the economic growth of China was estimated at 7.7%.
In the Statistical Bureau of China they say it is the "new norm". In the economy of China positive moments are visible in the form of signs of strengthening stability and growth of the quality of the system, and reforms in the social sectors. All this ensures the growth of GDP.
In the components of the report on GDP it is noticeable that industrial production in December last year in China has appreciated by 7.9%, which is higher than the November figures. The total increase in industrial production over the past year is estimated at 8.3%. These are very positive figures. The production of all that is necessary for the construction of the railway and maritime transport, as well as car manufacturers is feeling very well.
For Australia, this figure is also positive, as it does not cover the trade and economic relations between states. It is believed that the RBA could raise interest rates in the end of 2015 but, most likely, it will take this step only in 2016, in order to avoid exposing the economy to unnecessary stress.
RoboForex Analytical Department
On Tuesday the Australian dollar is trading fairly quiet during the European session, although in Asian trade movements were more energetic. The reason is in the statistics.
According to the published data, China's GDP at the end of the fourth quarter of 2014 increased by 7.3% y/y, which is slightly higher than the estimated average expectation of 7.2%. By the way, at the end of 2013 the economic growth of China was estimated at 7.7%.
In the Statistical Bureau of China they say it is the "new norm". In the economy of China positive moments are visible in the form of signs of strengthening stability and growth of the quality of the system, and reforms in the social sectors. All this ensures the growth of GDP.
In the components of the report on GDP it is noticeable that industrial production in December last year in China has appreciated by 7.9%, which is higher than the November figures. The total increase in industrial production over the past year is estimated at 8.3%. These are very positive figures. The production of all that is necessary for the construction of the railway and maritime transport, as well as car manufacturers is feeling very well.
For Australia, this figure is also positive, as it does not cover the trade and economic relations between states. It is believed that the RBA could raise interest rates in the end of 2015 but, most likely, it will take this step only in 2016, in order to avoid exposing the economy to unnecessary stress.
RoboForex Analytical Department
Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.