Audusd Bulls take a bow

The aussie took full advantage of some weak US numbers, including housing data and lower GDP to make gains against the US dollar. As well, there is talk of the Federal Reserve taking monetary action to help the US economy, which would hurt the US dollar.

HIA New Home Sales: Sunday, Tentative. This housing indicator is quite volatile, with the result that market estimates often miss the mark. The indicator rose just 0.7% last month, and the markets will be hoping for an improvement in the July reading.


Building Approvals: Monday, 21:30. Building Approvals also tends to show a lot of volatility. The indicator sparkled in June, jumping 27.3%. However, the markets are predicting a sharp slump this month, with an estimate of -15%.

Private Sector Credit: Monday, 21:30. This indicator has been very steady in recent months, with a 0.5% gain in July. Little change is expected in the July reading.
AIG Manufacturing Index: Tuesday, 19:30. The index has been below the 50 point line since February, indicating sustained contraction in the manufacturing sector. Will the index show some improvement this month?


Chinese Manufacturing PMI: Tuesday, 21:00. Traders should pay attention to this PMI, as China is Australia’s number one trading partner. The index has been above the 50 point level throughout 2012, and the markets will be hoping for continued expansion in the Chinese manufacturing sector.
HPI: Tuesday, 21:30. This quarterly  housing inflation index has been contracting since Q3 of 2010, indicating sustained weakness in the housing sector. Will the index reverse the trend and move into positive territory?
Commodity Prices:

Wednesday, 2:30. Commodity Prices have  been falling for an extended period, indicating weak global demand for Australian exports. Will the August reading reverse the negative trend?
Retail Sales:

Wednesday, 21:30. This key indicator rose a modest 0.5% in the previous reading. The markets are expecting little change in the August reading.
Trade Balance: Wednesday, 21:30. Australia has been recording monthly trade deficits since February. The markets are predicting a wider trade deficit in August.
AIG Services Index: Thursday, 19:30. This index has been improving in recent months, although it is still below the 50 line, indicating continuing contraction in the services sector. Will the index push across the 50 line this month?