AUD/USD Weekly Forecast – 30 November

Friday, Nov 27 2015

Events that marked the week:

From Australia, on Wednesday, Construction Work Done data was published. The trend estimate for total construction work done fell 0.7% in the September quarter 2015. The seasonally adjusted estimate for total construction work done fell 3.6% to $49,040.7m in the September quarter. Decrease by 1.8% was expected. Total building work done rose 0.5% in the September quarter in trend terms. The trend estimate for engineering work done fell 1.7% in the September quarter. The seasonally adjusted estimate for engineering work done fell 7.3% to $24,884.4m in the September quarter.

Thursday brought Private Capital Expenditure figures. Australian firms scaled back investment spending by 9.2% in the third quarter from the second, a much steeper drop than the 2.9% fall economists had been expecting. In the year through September, total new capital expenditure fell by 20.0%, according to the government statistician Thursday. Australia's economy continues to be met by a headwind of falling mining investment as a once in a century mining boom fades. The downturn in investment is expected to last for as long as another two years, leaving GDP growth sluggish. The central bank has cut interest rates to record levels to support growth in the non-mining economy.

This week markets will be looking at:

Building Approvals (Tuesday 1:30)

Current Account (Tuesday 1:30)

Manufacturing PMI/Non-Manufacturing PMI (Tuesday 2:00)

Caixin Manufacturing PMI/Caixin Services PMI (Tuesday 2:45)

RBA Cash Rate/Rate Statement (Tuesday 4:30)

GDP (Wednesday 1:30)

Retail Sales (Friday 1:30)

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