Currency Updates:
TheAUD/USD eased by 31 points to trade at 0.9465 after this morning’s trade data release. The Australian dollar fell against the other major currencies in early Asian deals on Wednesday, as nation’s trade deficit widened more-than-forecast in May. Australia’s international trade balance has blown out to $1.9 billion due to plunging iron ore prices. The deficit was $1.9 billion in May, compared to a $780 million deficit in April, Australian Bureau of Statistics figures show. ANZ economist Dylan Eades said exports appeared to have driven the sharp widening in the trade deficit.
The EUR/USDeased by 11 points as the greenback recovered from its recent low ahead of ISM data due later in the trading day. The euro-area unemployment rate was unchanged in May as the currency bloc struggled to shake off the legacy of the debt crisis.
The USD/JPY gained 7 points to trade at 101.59. The Bank of Japan’s “tankan” survey, announced Tuesday morning, showed that the current business sentiment diffusion index for large manufacturers in June fell 5 points from March to plus 12, weaker than the median forecast of plus 15 in an advance Jiji Press survey of 19 research institutes.
AU Trade Balance
