The Australian dollar once again took a hit this week, this time on disappointing manufacturing sentiment data from its close and very large trading partner in China.
The Australian Dollar
Australian Headlines and Economic data
- Australia private sector credit grew by 0.3% in March as expected
- Australian housing market conditions look set to weaken further as credit growth hits the lowest level on record
- ANZ-Roy Morgan Australian Consumer Confidence down to 117.6
- Chinese factory activity grew slower than expected, widely watched indicators show – This was the likely driver for the weakness in the Aussie and in risk assets in general for the week. There was an expectation of continued recovery in China’s manufacturing sector, so the disappointment naturally spurred risk-off behavior, arguably for the whole week.