In This Article:
Earlier in the Day:
It’s was a relatively busy start to the day on the economic calendar this morning. The Kiwi Dollar, Japanese Yen, and the Aussie Dollar were in action early this morning.
For the Kiwi Dollar
Electronic card retail sales jumped by 8.8% in October. In September sales had risen by 5.4%. Year-on-year, spending was up by 8.2%.
According to NZ Stats,
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Spending on eating out recovered in October, as Auckland came out of COVID-19 alert level 2.
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Restaurants, cafes, and takeaways reported an 8.8% jump in spending, compared with October 2019.
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Hotels, motels, and other accommodation saw a spending slump of 22%, compared with October 2019, however. A lack of international visitors continued to weigh heavily on the accommodation industry.
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Spending on durables jumped by 17%, driven by furniture, electrical, and hardware retailing (+20%).
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Sporting and outdoor activity equipment (+27%) saw the largest percentage increase of the 4 durable sub-industries.
The Kiwi Dollar moved from $0.68190 to $0.68192 upon release of the figures. At the time of writing, the Kiwi Dollar was up by 0.28% to $0.6837.
For the Japanese Yen
The Current account surplus narrowed from ¥2.103tn to ¥1.660tn in September. Economists had forecasted a narrowing to ¥1.995tn.
The Japanese Yen moved from ¥105.092 to ¥105.248 upon release of the figures. At the time of writing, the Japanese Yen was up by 0.49% ¥104.89 against the U.S Dollar.
For the Aussie Dollar
The NAB Business Confidence Index rose from -4 to +5 in October. In September, the Index had risen from -8 to -4.
According to the October survey,
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Business confidence rose to its highest level since mid-2019, driven by a sharp increase in Victoria.
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By sub-component, trading and profitability jumped by 4 points and by 3 points respectively, with employment rising by 1 point to -5.
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The Business conditions index saw a more modest 1 point increase to +1 in October, however.
The Aussie Dollar moved from $0.72775 to $0.72738 upon release of the figures. At the time of writing, the Aussie Dollar was up by 0.04% to $0.7287.
The Day Ahead:
For the EUR
It’s a relatively busy day ahead on the economic calendar. November’s ZEW Economic Sentiment figures for Germany and the Eurozone are due out.
We can expect EUR sensitivity to the numbers as the markets get a sense of what impact the 2nd wave pandemic is having on sentiment.
Away from the economic calendar, expect continued support from Biden’s victory. Any updates on COVID-19 and Brexit will also influence.
At the time of writing, the EUR was up by 0.19% to $1.1835.