Forecasts
Forex Guides
Members

Australian Retail Sales Decline as Job Outlook Weakens: Economy




Australian retail sales unexpectedly fell in March and job advertisements dropped for a second month, sending the currency lower as traders see a 50-50 chance the central bank will resume cutting interest rates tomorrow. Sales declined 0.4 percent to A$21.9 billion ($22.5 billion) from a month earlier, when they rose 1.3 percent, the Bureau of Statistics said in Sydney today. That was the first drop of the year and compared with economists’ estimates for a 0.1 percent gain. An Australia & New Zealand Banking Group Ltd. (ANZ) report showed help-wanted notices fell 1.3 percent in April. “The retail data and the decline in job ads should be consistent with an interest rate cut from the Reserve Bank tomorrow,” said Joshua Williamson , a senior economist at Citigroup Inc. in Sydney who predicted the 0.4 percent drop and expects the central bank to lower borrowing costs.



Prime Minister Julia Gillard , whose Labor Party is 10 percentage points behind the opposition in public polls ahead of a Sept. 14 election, faces an economy weighed by sustained currency strength. Weakness in China’s economy , as shown by a services index today, is damping commodity prices and curbing returns from Gillard’s new tax on mining profits. The local dollar traded at $1.0283 at 3:23 p.m. in Sydney from $1.0297 before the release. Traders are pricing in a 53 percent chance the Reserve Bank of Australia will reduce the benchmark rate to a record-low 2.75 percent tomorrow, according to swaps data compiled by Bloomberg. Stimulate Industries Governor Glenn Stevens and his board cut rates six times from November 2011 to December 2012 to buttress the economy. The rate is at 3 percent, matching a half-century low, as policy makers aim to stimulate industries outside of mining, while the sustained strength of the currency […]



Invest In Yourself And Get Premium Analysis
Less than 20 cents a day
Major Currency Pairs Analysis
Forex Sentiment Analysis
Understand The Market
10 days money back guarantee

View Subscription Options

Would you like to connect?
Get notifications on new forecasts and articles.

Sign up to our emailing list and get your FREE Stop Losing and Start Winning in Forex Checklist!

Trending Forex Articles

  • EUR/USD Gold CorrelationAustralian Retail Sales Decline as Job Outlook Weakens: Economy
  • Australian Retail Sales Decline as Job Outlook Weakens: Economy
  • Australian Retail Sales Decline as Job Outlook Weakens: Economy
  • Australian Retail Sales Decline as Job Outlook Weakens: Economy
  • Australian Retail Sales Decline as Job Outlook Weakens: Economy
  • Australian Retail Sales Decline as Job Outlook Weakens: Economy
TheGeekKnows