I've had the past week off which also meant that there was no morning reports from me for the past week.
But, today marks the first business day of the New Financial Year (17/18) and what better time to start saving money and time on your FX payments & receivables by allowing me to assist your business as I do hundreds of others. Signing up with Compass Markets takes an investment of around 10-15 minutes of your time yet, the savings in many cases means businesses are able to put on more staff, drop their prices or buy new capital products with the savings. In the past year there have probably been a handful of clients where savings have exceeded 50K per annum - so if you've been umming and ahhing make today the day to make that switch.
On to markets and the past week has certainly been fantastic for the Aussie dollar thanks in large part to stronger commodities prices but also some improved economic data namely jobs numbers which well and truly surprised us all a week or two back. Clients keep asking me where will the Aussie go from here and all I can say to answer that question is at this stage it looks bullish with 0.7700 the next target. Ofcourse trading AUD/USD and any of the other crosses is fraught with danger given the inherent volatility associated with currencies as such I suggest if you have payments take advantage of the rate as it is. If the higher Aussie has allowed you to boost your revenue on an import with payment not due for a few months, think about locking in your profit margin with a Forward contract. Contact me to discuss. Ahead today is a bunch of manufacturing data both locally and abroad and we'll also see the latest building approvals numbers at 11.30am.
DATA RELEASES TODAY:
AUD - Building Approvals at 11.30am
CNY - Caixin Manufacturing PMI at 11.45am
GBP - Manufacturing PMI at 6.30pm
USD - ISM Manufacturing PMI at midnight (AEST)
AUD EXCHANGE RATES:
AUD/USD – 0.7656
AUD/GBP – 0.5871
AUD/EUR – 0.6701
AUD/NZD – 1.0460
AUD/JPY – 86.010
***Above rates are indicative wholesale rates and intended as a guide only***
Sign up for a Compass account today and access some of the most competitive rates in the business and arguably the best service.
Senior Corporate FX Dealer
Phone Patrick - 0431 278 632