At the Forex currency market the Australian Dollar rate continues to go down on Thursday amid investors’ negative sentiment at the global capital market.
Forex forecast: MACD indicator is in the positive area for the pair AUD/USD and continues to tend upward, giving a buy signal. Stochastic oscillator goes up today, being in the neutral zone and indicating sale for the pair.
Forex recommendations: it seems possible now that traders’ positions for the pair will intensify, which will give grounds to consider that targets of the movement today will be level of 1.0025 and a parity level of 1.0000.
Statistics released this morning showed that employment rate in Australia increased by 24 thousand, to the level of 11.44 million in January, which was above the forecast of the economists, who expected the rise by 15 thousand
In addition, unemployment rate remained at the previous level of 5.0%.
A number of part-time jobs increased in January (+32 thousand against preliminary value of +0.6 thousand)
Therefore, despite natural disasters that befell on the Green Continent at the beginning of the year, one of the major guarantors of economic recovery, employment sector, remains stable.
Statistics released yesterday showed that levels of consumer confidence Westpac in Australia increased by 1.9%, to 106.6 against the fall by 5.7& in January, to 104.6 points. The indicator is interesting because January had been extremely difficult for Australian economy (first of all, the country had been devastated by flooding, after that - by the tropical hurricane “Yassi”). According to preliminary estimates the damage caused by the disaster is estimated at A$20 milliard. Market believes that the rate will be increased after the pause at the level of 5.0% by the end QII, 2011.
Current level of the interest rate in Australia is at 4.75% per annum. Market thinks that Reserve Bank of Australia has many reasons why the regulator should restrain from the rise in rates and inflation is not the most impressive of them. Inflation levels are expected to grow, as flooding has brought losses to the farmers.