The Australian dollar fell during the Asian market on Friday on a large scale against most major currencies, marking the lowest level in two months against the US counterpart, after the central Bank of Australia reduced inflation expectations during the current year, which boosted speculation of reduced Australian interest rates again in the coming Bank meetings after this week been reduced by 25 basis points, the dollar index traded within a limited range of trades, and investors awaited the monthly jobs data from the United States in order to re-evaluate the prospect of rising US interest rates during the current year.
The Australian dollar
The Australian dollar ended trading yesterday higher by 0.2 percent against the US dollar, due to correction and profit taking, after a terrible loss for the Australian dollar over the previous two days following the decision of the Central Bank of Australia to cut interest rates by 25 basis points to 1.75 percent from 2.0 percent.
And Australian dollar against the US dollar by 07:20 GMT, trading at 0.7370 from an opening price of 0.7461 after recording the highest price of 0.7477 and the lowest of 0.7360, the lowest since March 4.
The Australian dollar resumed its losses against its US counterpart, marking the lowest level in two months 73.60 cents, after the central Bank of Australia cut interest expectations during the current year, and the last meeting of the Bank Minutes released today in Sydney, explained that the bank expects inflation decline in the country to 1 percent: 2 percent, down from its previous forecast range of 2 percent: to 3 percent, which boosted speculation that the Bank will cut interest rates again by 25 basis points, to target rate of 1.5 percent rate during the short upcoming meetings.
U.S. dollar
The dollar index yesterday rose 0.5 percent, in the third daily gain in a row, reflecting the continued improvement in buying the US currency levels against most major and minor currencies, and so overwhelmed the negative statement in Washington showed a rise in weekly jobless claims worse than expected in the week ending April 30 April.
The dollar index traded by the time 07:21 GMT around the level of 93.68 points from the opening level of 93.72 points, and recorded the highest level of 93.82 points and 93.56 points as the lowest level.
The dollar index during the Asian market on Friday settled within a limited range of trades, with investors waiting for the monthly jobs data from the United States to re-evaluate the world's largest economy growth path, and determine the future of raising US interest rates during the current year.
By 12:30 GMT non farm jobs data will be released without , expectations suggest adding the largest economy in the world 203 thousand new jobs in March, compared with 215 thousand jobs in March, with a stable unemployment rate at the level of 5.0%.