AUD: The week ahead - ANZ

Research Team at ANZ, suggests that the markets will begin to wind back into gear this week after the first real August lull in a number of years.

Key Quotes

“The data calendar is relatively full both domestically and offshore. On the domestic front, the monthly data will need to show some signs of redemption after both retail sales and building approvals numbers disappointed last month. If they continue to show weakness, the recent decline in the AUD will be compounded. However, it is unlikely that the data can provide the spark for a sustained move in the AUD in either direction.

While it gives no great lead on economic growth, the quarterly capex report will also be closely watched by the market – particularly the forward-looking components from non-mining capex, but again the release is unlikely to be able to drive more than a temporary move in the AUD.”