Australian Dollar Down Trend Opens New Year's Curtain

On Monday the Asia Pacific period, the Australian dollar's downward trend opened the curtain on the new year, and now hit 0.7207 lows. After the holiday, the market was sluggish overall, but the Australian dollar weakened against the weak pound in the vicinity of the 6 month high.

Meanwhile, the Australian dollar strengthened against the US dollar fell to 0.7233 from its 0.7326 high last Thursday (December 31st), approaching the 0.71 lower level touched in mid December.

Traders say many market participants are still not coming into the market after the holiday, and the market lacks liquidity, so they exaggerate. Australian dollar Downtrend.

2015 Australian dollar / US dollar The cumulative drop of nearly 11%, down for third consecutive years, is attributable to falling commodity prices, the RBA reduction in interest rates and the prospect of slowing economic growth in China.

However, compared with the drop in iron ore prices, the Australian dollar is still showing resilience, and iron ore is Australia's main export commodity.

Yields on Australian bonds are far higher. Japan Countries such as Germany and France are sought after by investors who seek higher returns from the world, which constitute an important support for the Australian dollar.

The pound is near the Australian dollar at 2.0350, and has fallen by more than 2100 points since August 2015. If the exchange rate falls through the 61.8% withdrawal of 2.0161/68 from March to August, then further look at 1.8809.

At the same time, the New York dollar fell nearly 1% to 0.6765 against the US dollar and the market was quiet. New Zealand's financial markets will resume trading on Tuesday (January 5th) due to public holidays.

The New York dollar also fell more than 10% in 2015, but the price of milk showed signs of bottoming in 2015, which analysts believe will support NZD in 2016.

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On Monday, FPG Securities pointed out that the currencies of emerging Asian markets fell, the won and the Indonesian rupiah took the lead, and investors could start building more dollars in the new year.

Fukatani Koji, chief executive of FPG Securities, told foreign media that there will be a lot of economic data released this week, and the market expects these data to be good. The US dollar showed strong strength in the first trading day of 2016.

Fukatani Koji said that as the Fed expects to raise interest rates gradually, the emerging market currencies will probably depreciate gradually against the US dollar in 2016.

On this trading day, the Indonesian shield fell against the US dollar from 0.8% last Thursday to 13896 rupiah, Han Yuanjiao fell 0.9% to 1183.17 in December 30th, and Malaysia's ringgit dropped 0.7% to 4.3225 in December 31st compared with that in December 31st.