Australian Dollar Losing Ground As Chinese Trade Data Disappoints

Australian Dollar Losing Ground As Chinese Trade Data Disappoints

For the 24 hours to 23:00 GMT, AUD strengthened 0.14% against the USD to close at 1.0488.

LME Copper prices declined 0.7% or $55.0/MT to $7965.3/MT. Aluminium prices declined 1.5% or $31.5/MT to $2077.8/MT.

In the Asian session, at GMT0400, the pair is trading at 1.0472, with the AUD trading 0.15% lower from Friday’s close, after Chinese trade balance data trailed economists’ forecasts, dampening sentiment towards the Aussie.

The trade surplus in China has narrowed to $19.6 billion in November, more than market forecasts and compared to a $32.0 billion surplus recorded in October. The annual consumer price inflation in China has climbed to 2.0% in November, while the producer price index in China has dropped more-than-expected by 2.2% (YoY) in November. Separately, industrial production in China has jumped 10.1% (YoY) in November, while retail sales in China have risen more-than-forecast by 14.9% (YoY) in November.

The pair is expected to find support at 1.0455, and a fall through could take it to the next support level of 1.0439. The pair is expected to fi