Aussie Dollar Traders Ramp Up Bearish Bets With 2022 Low in View
5 days, 4 hours ago

Aussie Dollar Traders Ramp Up Bearish Bets With 2022 Low in View

Live Mint  

-- Traders are increasingly positioning for the Australian dollar to fall to levels last seen in 2020 as economic data weaken and increased US tariffs look more likely. Option trading volume on the Australian dollar versus the greenback on Wednesday surged to the highest in three weeks as the pair hovered not far above 0.6170, its 2022 low, according to data from The Depository Trust & Clearing Corp. That’s after leveraged funds increased their short Aussie position to 37,708 contracts at the end of 2024, the most bearish since March 2022, according to Commodity Futures Trading Commission data. “There has been an increase in FX option activity with the Australian dollar versus the dollar hovering near the lows of 2022,” said Con Davelis, head of FX option trading at National Australia Bank Ltd. in Sydney. “Market flow currently feels like the usual importer/exporter demand in FX options.” If the Aussie breaks 0.6170, macro demand is likely to increase as it “opens the door to a more significant move lower,” Davelis added.

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History of this topic

Why is the Australian dollar falling and what could it mean for you?
2 days, 7 hours ago

Why is the Australian dollar falling and what could it mean for you?

ABC  

The Australian dollar is around its lowest level since 2020 against the US currency, continuing its move towards 61 US cents with a sharp fall over the weekend. "While the strong US dollar has left no prisoners, the Aussie softness has been exacerbated by tariff angst, fears over economic growth in China and the repricing in domestic interest rate expectations," …

Currency Options Trading Is Skyrocketing as Politics Upend Bets
1 week, 1 day ago

Currency Options Trading Is Skyrocketing as Politics Upend Bets

Live Mint  

-- Monday started quietly in the $300 billion-plus currency options market until political headlines triggered the most hectic trading day in nearly two months — a taste of what may lie in store for 2025. Volumes surged to $108 billion by the close of trade, surpassing even the activity seen on the Federal Reserve and Bank of Japan monetary policy …

Interest rates, exporters and Reserve Bank intervention: There's a lot at stake as the Australian dollar weakens
1 week, 4 days ago

Interest rates, exporters and Reserve Bank intervention: There's a lot at stake as the Australian dollar weakens

ABC  

Is the Reserve Bank close to stepping into the currency market to support the Australian dollar and, if so, what does this mean for millions of Australians? Reserve Bank can intervene to support the dollar The Reserve Bank last intervened in the foreign exchange market in 2007-08 during the global financial crisis, when it bought Australian dollars. "This was in …

Dollar eases in cautious start to 2025; yen lingers at five-month lows
Trending News
1 week, 6 days ago

Dollar eases in cautious start to 2025; yen lingers at five-month lows

Live Mint  

By Ankur Banerjee SINGAPORE - The U.S. dollar wobbled at the start of 2025 trade on Thursday after a strong year of gain against most currencies, with the yen anchored near its lowest level in more than five months as investors ponder U.S. interest rates staying higher for longer. A wide interest rate difference between the U.S. and other economies …

Australian dollar now at risk of plummeting to pandemic-era lows, analysts say
2 weeks ago

Australian dollar now at risk of plummeting to pandemic-era lows, analysts say

ABC  

The Australian dollar has fallen sharply, hitting a multi-year low of 61.88 US cents — a level not seen since October, 2022. "The problem with the Australian dollar appears to be that there was a real wobble in the Chinese currency into New Year's Eve," InTouch Capital Markets senior FX analyst Sean Callow said. The US dollar has performed strongly …

The Australian dollar could be heading to a 20-year low, on risks of China, Trump and slow growth
3 weeks, 1 day ago

The Australian dollar could be heading to a 20-year low, on risks of China, Trump and slow growth

ABC  

You wouldn't be an economics forecaster for quids. A weak Chinese economy, American threats to impose punishing trade tariffs, a poor medium-to-longer-term outlook for our key exports and a sluggish economy are likely to keep the Australian dollar under pressure through 2025, threatening to send it into the 50 US cents. The upside of heading down The Australian dollar is …

US dollar and bitcoin advance spurred by Trump tariff expectations
2 months ago

US dollar and bitcoin advance spurred by Trump tariff expectations

Live Mint  

* Dollar index rises to 6-1/2-month high * Bitcoin hits record high on Trump tariff promise * Euro sinks to lowest since November 2023 By Chibuike Oguh and Harry Robertson NEW YORK/LONDON, - The U.S. dollar rose to a 6-1/2-month high against major peers on Tuesday, while bitcoin pared gains after earlier hitting a record high amid expectations of inflationary …

US dollar and bitcoin advance spurred by Trump tariff expectations
2 months ago

US dollar and bitcoin advance spurred by Trump tariff expectations

Live Mint  

By Chibuike Oguh and Harry Robertson NEW YORK/LONDON -The U.S. dollar rose to a 6-1/2-month high against major peers on Tuesday, while bitcoin pared gains after earlier hitting a record high amid expectations of inflationary import tariffs from Republican President-elect Donald Trump Bitcoin gained 1.88% to $89,683.00, slightly below a new all-time peak of $89,982. "It's still an extension of …

Dollar stable, yen wobbles ahead of US inflation data
4 months ago

Dollar stable, yen wobbles ahead of US inflation data

Hindustan Times  

By Ankur Banerjee Dollar stable, yen wobbles ahead of US inflation data SINGORE -The dollar was steady on Tuesday and the yen inched away from one-month highs in cautious trading as investors braced for U.S. inflation data and reassess expectations of a large interest rate cut from the Federal Reserve next week. A mixed labour report on Friday failed to …

Australian dollar tumbles on fears of Chinese economic slowdown
5 months, 3 weeks ago

Australian dollar tumbles on fears of Chinese economic slowdown

ABC  

After climbing to a six-month high two weeks ago, the Australian dollar has since tumbled, as fears mount about the economic health of our largest trading partner, China. "Until the Chinese government makes a material stimulus, and puts some actual money behind this idea of recovery in the property market, the iron ore price is going to remain subdued," Bell …

How will the ASX, Wall Street, other share markets and the Australian dollar perform in 2024?
1 year ago

How will the ASX, Wall Street, other share markets and the Australian dollar perform in 2024?

ABC  

Key market and currency watchers say the Australian share market is likely to outperform other major financial markets in 2024 and the Australian dollar will trade higher against the greenback with or without interest rate cuts. Key points: The ASX 200 could reach a record high in 2024 The Australian dollar is likely to continue to rise But a recession …

Australian dollar ‘at risk of a slide’ as China’s economic troubles deepen
1 year, 5 months ago

Australian dollar ‘at risk of a slide’ as China’s economic troubles deepen

ABC  

The Australian dollar hit a nine-month low against the US dollar Monday. Key points: The Australian dollar has hit a nine-month low There are growing concerns about the health of China's economy Global investors are on edge as another major Chinese investment firm shows signs of stress It fell to 64.59 US cents before recovering in afternoon trade to 64.8 …

The Australian dollar is going into hibernation, and it's because of interest rates and commodity prices
1 year, 5 months ago

The Australian dollar is going into hibernation, and it's because of interest rates and commodity prices

ABC  

Fashion is a fleeting phenomenon. And our interest rates remained much higher than the rest of the developed world, which also attracted vast amounts of global capital seeking out a decent return. Our relatively lower interest rates will weigh on the Australian dollar as speculative money looks to the US and Europe for better returns. Why a fall in the …

Australian dollar sinks to 29-month low on 'rising risk' of global recession, ASX drops 1.4 per cent
2 years, 3 months ago

Australian dollar sinks to 29-month low on 'rising risk' of global recession, ASX drops 1.4 per cent

ABC  

Australian shares have fallen significantly, tracking heavy losses on Wall Street as worries about higher interest rates and a potential recession in the United States hurt investor sentiment. Key points: The Australian dollar peaked at 76.6 US cents in April It has since dropped 17 per cent as global recession fears mount The US Fed is tipped to lift interest …

The Aussie dollar is dropping against the US currency, but it’s not all bad news
2 years, 3 months ago

The Aussie dollar is dropping against the US currency, but it’s not all bad news

ABC  

Paul O'Brien's costs are rising and it's not just supply chain issues, shipping delays and increasing inflation that we're all becoming accustomed to that is the cause. "It's been a case of all systems go for the US dollar," said Westpac's head of a foreign exchange strategy, Richard Franulovich. "The US dollar has been strong across the board this year …

Dollar firm as US Fed meeting and growth risks dominate
2 years, 5 months ago

Dollar firm as US Fed meeting and growth risks dominate

Live Mint  

The dollar was on a firm footing on Monday, as traders brace for a sharp U.S. interest rate hike this week and look for safety as data points to a weakening global economy. "Market reaction will turn on how hawkish Chair Powell sounds with his determination to reduce inflation in the face of slowing growth," said National Australia Bank currency …

Federal Reserve's inflation target fudge: what it means for Australians
4 years, 4 months ago

Federal Reserve's inflation target fudge: what it means for Australians

ABC  

Late last week, the chairman of the US central bank announced major changes to the way the US will be targeting inflation in coming years. Instead of trying to keep inflation around 2 per cent by lowering or raising interest rates, Fed chairman Jerome Powell said the US central bank might let things run a bit hot for a while …

Australian share market rises, dollar comes off five-month high
4 years, 7 months ago

Australian share market rises, dollar comes off five-month high

ABC  

The Australian share market rose this session but ended off its early highs, after a strong session on Wall Street. Key points: The major US share indices gained between 0.8 and 2.05pc last night The Nasdaq is now just 1.4pc from its record high set in February, the S&P 500 still 7.8pc off The Australian dollar has eased back from …

Australian dollar retreats to 69.3 US cents, as ASX shrugs off recession fears
4 years, 7 months ago

Australian dollar retreats to 69.3 US cents, as ASX shrugs off recession fears

ABC  

The Australian dollar has had a temperamental day after the impact of summer bushfires and COVID-19 on the economy was revealed. Key points: The Australian dollar jumped as high as 69.83 US cents, its highest value since January 3 The ASX 200 is about 23 per cent away from hitting its February record high Australia's economy contracted by 0.3pc in …

ASX extends its seven-session losing streak, but losses moderate in afternoon trade
4 years, 10 months ago

ASX extends its seven-session losing streak, but losses moderate in afternoon trade

ABC  

The Australian share market has extended its losing streak to a seventh straight session, but closed well off the lows of the day, ahead of a widely anticipated interest rate cut tomorrow. ASX at Monday's close: The ASX 200 ended down 0.8 per cent to 6,391 points, well off its lows Markets now consider a 25-basis-point cut by the Reserve …

Coronavirus isn't the only contributor to Australia's weakening dollar
4 years, 10 months ago

Coronavirus isn't the only contributor to Australia's weakening dollar

ABC  

Australia's dollar fell to an 11-year low this week, hitting 65.43 US cents on Thursday. The decline began after Reserve Bank governor Philip Lowe delivered a speech in Sydney conceding Australia's economy had weakened towards the end of 2018 and more interest rate cuts may be needed in 2019. The RBA ended up cutting Australia's interest rate three times last …

Australian dollar slumps to 11-year low on weak jobs data; ASX slips
4 years, 10 months ago

Australian dollar slumps to 11-year low on weak jobs data; ASX slips

ABC  

The Australian dollar has plunged to an 11-year low — its worst level since the global financial crisis — following an unexpected jump in unemployment. Key points: The Australian dollar has fallen more than 1pc over the past day and is at its weakest level since the peak of the global financial crisis passed in early 2009 Analysts say the …

Australian shares, US futures rebound after Iran says it doesn't want war
5 years ago

Australian shares, US futures rebound after Iran says it doesn't want war

ABC  

The Australian share market has closed lower, but pulled back from steeper earlier losses, after Iran's foreign minister said its strikes against US forces in Iraq "concluded proportionate measures in self-defence" following the US killing of an Iranian general. Key points: US officials have confirmed rockets have been fired at the Al-Asad and Erbil airbases in Iraq, which host US …

Australian dollar tumbles after New Zealand's Reserve Bank warns of interest rate cut
5 years, 9 months ago

Australian dollar tumbles after New Zealand's Reserve Bank warns of interest rate cut

ABC  

The Australian dollar has fallen sharply against major currencies, after the Reserve Bank of New Zealand unexpectedly warned, on Wednesday, that its next move in interest rates might be a rate cut. Market snapshot at 8:15am : ASX SPI futures flat at 6,113, ASX 200 flat at 6,136 AUD: 70.83 US cents, 53.61 British pence, 62.97 euro cents, 78.24 Japanese …

Australian dollar drops on greenback strength, stocks rise
6 years, 3 months ago

Australian dollar drops on greenback strength, stocks rise

ABC  

The Australian dollar has dropped around half a cent against the greenback, as investors bet on further interest rate rises from the US Federal Reserve. It was a rise in the greenback that pushed the Australian dollar lower, as investors became increasingly certain that US interest rates are heading steadily higher. "The Fed is moving faster than most central banks …

The Aussie dollar rollercoaster (explained for economic amateurs)
6 years, 6 months ago

The Aussie dollar rollercoaster (explained for economic amateurs)

ABC  

The Australian dollar is special — it's one of the most highly traded currencies in the developed world, and it makes the news every day. "And, of course, that causes them to sell US dollars buy Australian dollars, changing the difference in supply and demand between the two currencies and shifting the Australian dollar up." You may also have heard …

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