Investing.com - The Australian dollar weakened on Thursday after
a private survey showed slightly lower expectations of inflation
after the government moved to repeal a tax on carbon.
USD/JPY traded at 102.60, up 0.17%, while AUD/USD traded at
0.9297, down 0.09% after the survey on inflation expectations.
New Zealand's second quarter retail trade rose 1.2%, above
expectations for a 1.0% gain.
NZD/USD traded at 0.8464, up 0.8%, after the data.
In Japan, June machinery orders rose 8.8%, well below the
expected 15.3% gain on month, with the government downgrading
demand prospects, despite thefirst rise in three months.
In Australia, August MI inflation expectations for the trimmed
mean came in at 2.6% from 2.7% in July, showing the repeal of
Overnight, the dollar took back earlier losses sustained against
most major currencies after investors felt the U.S. currency fell
too far on soft U.S. retail sales data.
Core retail sales, which exclude auto sales, rose just 0.1% in
July, below expectations for a 0.4% gain.
The numbers softened the dollar by reminding investors that the
Federal Reserve won't rush to raise interest rates after it closes
its monthly bond-buying program, which is seen taking place in
Bottom fishers chipped away at earlier losses, as investors felt
the currency was oversold especially in light of weak U.K. and
Eurostat, the European Union's statistical office, reported
earlier that industrial output in the euro area contracted 0.3% in
June. It was the second consecutive monthly decline and confounded
expectations for a 0.3% expansion.
The report came one day after data showed that German economic
sentiment deteriorated sharply this month, falling to a 20 month
low, largely due to geopolitical tensions.
The US Dollar Index, which tracks the performance of the
greenback versus a basket of six other major currencies, rose 0.06%
On Thursday, the U.S. is to release its weekly report on initial
offers an extensive set of professional tools for the financial
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