The upcoming week has announcements that may move the price of the Australian Dollar significantly. On Monday 5th November at 12.30am (GMT) there will be Australian Retail Sales, while there are Australian employment figures on the 8th of November, also at 12.30am (GMT.) Good retail sales data or a higher number of people in employment may lead to an appreciation in the Australian Dollar compared to its rivals as it may indicate underlying strength in the Australian economy.
There is also a rates decision from the Reserve Bank of Australia. The base rate in Australia is 3.25%, which is the highest of any major currency. It is possible that this has attracted inflows of ‘hot money’ seeking a higher return on deposits than is available in countries with lower base rates, such as the USA (0.25%) the UK (0.5%) or Switzerland (0%.) It may also pay dividends to keep an eye on the Royal Bank of Australia is releasing a monetary policy statement at 12.30am (GMT) on Friday, which may give an insight into future changes in the money supply of Australia, which is likely to affect the Australian Dollar’s performance against the other majors.