Market Update - 19th June 2020 - Equities & AUD Steady Amid New Covid19 Outbreak In Beijing
AUD & Equities:
The Aussie Dollar and Equities have shown a degree of resilience over the past few days which I wasn't expecting. A fresh outbreak of Covid19 at a seafood market in Beijing had all the hallmarks of creating another risk off scenario and subsequent savaging of markets. However, traders have become pretty thick skinned recently and both the AUD and equities are holding ground reasonably well. In addition it looks like the Chinese Centre for Disease Control has already locked down the latest outbreak in Beijing which is great news.
AUD/USD is trading above 0.6800 this morning, with the high being 0.7050 set around a week ago. It's a similar picture with AUD/GBP and AUD/EUR which are both only marginally off their recent highs set earlier this month.
Equity markets fell in Europe overnight, while U.S indices were mixed. The Nasdaq was the best performer up 0.33%, while the Dow was off 40 points or 0.15%. Our local market is tipped to open around 0.6% higher this morning.
AUD EXCHANGE RATES:
AUD/USD – 0.6805
AUD/GBP – 0.5481
AUD/EUR – 0.6077
AUD/NZD – 1.0624
AUD/JPY – 72.911
OTHER MARKETS:
All Ords (XAO) – 6,051
Gold – A$2,513/oz
Silver – A$25.36/oz
Oil – US$38.99 barrel
DATA RELEASES TODAY:
EUR – EU Economic Summit
CAD – Core Retail Sales m/m at 10.30pm
Senior FX Manager
Compass Markets
Contact Patrick for a quote on 0431 278 632.
*Above rates are indicative wholesale rates and intended as a guide only. Commentary above is my opinion and should not be construed as financial advice. I recommend you seek professional advice before doing anything of a financial nature.