AVN 64.02 Decreased By ▼ -0.57 (-0.88%)
BAFL 28.78 Decreased By ▼ -0.47 (-1.61%)
BOP 4.03 Increased By ▲ 0.01 (0.25%)
CNERGY 3.46 Decreased By ▼ -0.02 (-0.57%)
DFML 11.78 Increased By ▲ 0.08 (0.68%)
DGKC 43.91 Increased By ▲ 1.46 (3.44%)
EPCL 46.78 Increased By ▲ 0.58 (1.26%)
FCCL 11.96 Increased By ▲ 0.10 (0.84%)
FFL 5.41 Decreased By ▼ -0.08 (-1.46%)
FLYNG 5.82 Increased By ▲ 0.03 (0.52%)
GGL 10.57 Decreased By ▼ -0.10 (-0.94%)
HUBC 67.53 Increased By ▲ 0.43 (0.64%)
HUMNL 5.40 Decreased By ▼ -0.02 (-0.37%)
KAPCO 24.09 Increased By ▲ 0.04 (0.17%)
KEL 2.07 Increased By ▲ 0.01 (0.49%)
LOTCHEM 25.35 Increased By ▲ 0.22 (0.88%)
MLCF 25.98 No Change ▼ 0.00 (0%)
NETSOL 73.23 Decreased By ▼ -0.77 (-1.04%)
OGDC 83.36 Decreased By ▼ -0.49 (-0.58%)
PAEL 11.30 Increased By ▲ 0.75 (7.11%)
PIBTL 4.22 Increased By ▲ 0.43 (11.35%)
PPL 63.96 Increased By ▲ 0.16 (0.25%)
PRL 12.14 Decreased By ▼ -0.13 (-1.06%)
SILK 0.88 Increased By ▲ 0.02 (2.33%)
SNGP 39.09 Decreased By ▼ -0.21 (-0.53%)
TELE 7.44 Decreased By ▼ -0.25 (-3.25%)
TPLP 14.20 Increased By ▲ 0.15 (1.07%)
TRG 106.04 Increased By ▲ 0.27 (0.26%)
UNITY 13.29 Increased By ▲ 0.19 (1.45%)
WTL 1.18 Decreased By ▼ -0.01 (-0.84%)
BR100 4,056 Increased By 20.6 (0.51%)
BR30 14,367 Increased By 35 (0.24%)
KSE100 40,001 Increased By 152.5 (0.38%)
KSE30 14,853 Increased By 85.8 (0.58%)
Follow us

SYDNEY: The Australian and New Zealand dollars were buoyant on Wednesday after China’s latest economic data confirmed activity was recovering from pandemic damage, while improved risk sentiment from receding contagion fears of a possible US banking crisis also helped.

The Aussie rose 0.3% to $0.6702, having eked out a 0.2% gain overnight to as far as $0.6696.

After breaching the 14-day moving average of $0.6685, it now faces major resistance at the 200-day moving average of $0.6769.

The kiwi gained 0.4% to $0.6260, after also edging 0.2% higher to $0.6235.

Resistance now lies at $0.6275, a high from early March.

Data on Wednesday showed China’s retail sales in the first two months of the year swung back to growth, while fixed-asset investment grew at a much faster-than-expected clip, though industrial output was below forecasts, confirming an economic recovery, albeit uneven, after Beijing dropped almost all COVID-19 curbs in December.

Australia, NZ dollars firm after US intervenes in SVB failure

Overnight, Wall Street rallied on bargain-hunting as fear of a banking crisis eased after the collapse of Silicon Valley Bank and Signature Bank, and as US inflation data delivered no nasty surprises, reinforcing hopes the Federal Reserve will likely go for a smaller rate hike when it meets next week.

“The latest inflation figures for the US show there is more work to be done by the Federal Reserve to rein in inflation,” said analysts at ANZ in a note to clients.

“The inflation figures when considered in isolation may have warranted a larger response from the Fed, but the recent market turmoil means 25bp is now its most likely response.”

Australian bond yields recovered after plunging the day before, with futures back to implying bets between a pause and a 25 basis point hike for the Reserve Bank of Australia at the policy meeting in April, rather than between a cut and a pause.

The yield on three-year bonds held largely steady at 3.070%, having pulled back from the lowest level since late January at 2.93%, while ten-year yields hovered at 3.446%, away from a three-month low of 3.329% hit one day ago.

Comments

Comments are closed.

Australia, NZ dollars buoyant after China data confirms economic recovery

China has rolled over $2bn loan, Dar tells Senate

Rating downgrades may have added to IMF’s concerns: Pasha

If not effected, up to 9pc of amount to be marked as lien: SBP asks exporters to bring in delayed proceeds by 30th

SBP seen raising key rate to record 22pc as inflation bites

Election delay case: SC rejects govt’s full court plea

All categories of consumers: Nepra approves Rs3.23/ unit surcharge

SNGPL told to supply gas to 2 urea plants for interim period sans subsidy

Jul-Mar CGT collection of PSX stands at Rs4.3bn

Justices Isa, Aminuddin: SC registrar disregards verdict

Corporate farming: LHC stays handing over of land to army