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Forex - Aussie falls as China data disappoints, Kiwi down on RBNZ delay

Published 08/11/2016, 10:10 PM
Updated 08/11/2016, 10:12 PM
Aussie down after China data
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Investing.com - The Aussie fell on disappointing data out of major trading partner China on industrial output, fixed-asset investment and retail sales.

China reported fixed-asset investment for July rose 8.1%, below a pace of 8.8% seen year-on-year and industrial production gained 6.0%, also below an expected at 6.1% year-on-year gain, while retail sales increased 10.2% under the expected up 10.5% year-on-year rise seen.

AUD/USD traded down 0.26% to 0.7190, while USD/JPY changed hands at 102.15, up 0.19%.

Earlier, in New Zealand, the Business NZ PMI fell to 55.8 for July, dipping from a previous reading of 57.7. As well, core retail sales for the second quarter jumped 2.6%, better than the quarter-on-quarter figures seen up 1.1%. Full retail sales also spiked, up 2.3%, compared to a 0.9% quarter-on-quarter gain seen and nn annual pace of 6.0%, outpacing the 4.9% expected from the same quarter a year ago.

NZD/USD traded at 0.7195, down 0.21% after of the figures and a statement that the central bank would delay measures to curb house loans.

The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.02% to 95.92.

Overnight, the dollar held steady against the other major currencies on Thursday, despite the release of a positive U.S. jobless claims report, as investors turned their attention to Friday’s U.S. data on retail sales and consumer sentiment.

The U.S. Department of Labor said the number of individuals filing for initial jobless benefits in the week ending August 6 decreased by 1,000 to 266,000 from the previous week’s total of 267,000, which was revised from the initial read of 269,000.

Analysts had expected jobless claims to drop by 4,000 to 265,000 last week.

But market participants were now awaiting Friday’s U.S. retail sales and consumer sentiment data for further indications on the strength of the economy after weak data published earlier in the week dampened expectations for a 2016 rate hike by the Federal Reserve.

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