Australian Dollar Stays Strong After Australia and China Data
The Australian dollar (AUD) is not moving much and staying strong against the US dollar, even after new data came out from Australia and China.
Australia’s trade surplus in May was 5,589 million AUD. This means the country sold more than it bought. The number was better than expected, but a little less than April’s 5,620 million AUD. Exports went up by 1.3%, mostly because more gold was sold. Imports went down by 0.3%, after going up in April.
China’s Caixin Services PMI rose to 54.0 in May. This was a strong number and shows that China’s service industry is growing well. It’s the 17th month in a row of growth. This is good for Australia, because China is its biggest trading partner.
Even after this good news, the AUD/USD pair didn’t change much. Traders are waiting for more US data, especially the Nonfarm Payrolls report, to know what will happen next.
Impact: The Australian dollar could stay steady for now. But if US data is strong, it might push the AUD lower in the next few days.