The Kiwi saw relief overnight as the US and China plan trade talks this month offering hope of resolving an escalating trade war. Whilst the engagement was seen as positive, doubts remain whether these talks will resolve the trade issues as they will be led by lower-level officials from previous rounds.
The Turkish lira continued its recent recovery against the US dollar as markets remain optimistic following Qatar’s pledge to invest US$15 billion in Tukey. Emerging currencies also benefitted as the positive sentiment flowed on.
Australian unemployment hits a 6-year low
Australian employment data released yesterday showed the unemployment rate dropped to 5.3% vs forecast of 5.4%, the lowest level in 6-years. Job gains missed expectations declining by 3,900 in July as the participating rate fell. Markets focused on the positive unemployment rate and saw the AUD higher, also providing support for the NZD.
Coming up today:
NZ Producer Price Index at 10.45am
Reserve Bank of Australia Governor Speech
US Consumer Confidence and Inflation
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