WILL THE AUDUSD CONTINUE TO MOVE UP?

The Aussie gained some ground as the Chinese GDP rates for Q2, outperformed expectations at 1.6% QoQ. However, China’s economy grew at it’s slowest pace in almost three decades in the second quarter as the trade war with the US took it’s toll on exports. On the other hand, China’s industrial production, came out at 6.3% YoY and outperformed expectations. Furthermore,the RBA will release it’s meeting minutes tomorrow during the Asian session. The RBA in its last meeting cut rates by 25 basis points, however the market seemed to be prepared for the bank’s move. The accompanying statement had some remarks about inflation and the labour market which could be hinting towards more rate cuts to come.

Other economic highlights, today and early tomorrow

Today during the American session, we get from the US the NY Fed Manufacturing Index for July. In tomorrow’s Asian session, we get New Zealand’s CPI rate for Q2 and from Australia, RBA’s meeting minutes are to be released. Also bear in mind that NY Fed President Williams is scheduled to speak today and could move the USD

As for the rest of the week:

On Tuesday, we get UK’s employment data for May, Germany’s ZEW indicator for July and the US retail sales and industrial production for June. On Wednesday, we get UK’s and Canada’s CPI rates, both for June. On Thursday, we get Japan’s trade balance from June, Australia’s employment data for June, UK’s retail sales for June and from the US the Philadelphia Fed business index for July. On Friday, we get CPI rates for June, Canada’s retail sales for May and from the US the preliminary U. Michigan Consumer Sentiment for July.

AUD/USD H4