The Australian dollar has appreciated against the backdrop of growth in the stock and commodity markets on Wednesday, although the data indicate a high level of inflation in China, few have kept upward trend observed in the late Asian session.Once concerns about global growth and its impact on commodity markets put pressure on oil and metals last week, this week, traders were again invest in these commodities and commodity currencies such as the Australian dollar. Among the few factors that can cloud the optimistic predictions about the growing resource sector, Australia, include concerns about China.
In part, these fears were realized in the environment, as well as data on inflation in China signaled that Beijing will take further measures to tighten monetary policy. Australian dollar after the sharp growth before the Asian session, and for most of the early Asian session stopped and traded almost unchanged during the remainder of the session.
As at 06.00 GMT on a pair of Australian dollar was trading at 1.0860 dollars against 1.0747 late on Tuesday. A pair of Australian dollar / Japanese yen was trading at 87.885 against 86.505.
Improving sentiment partly due to the budget of Australia, who almost did not bring surprises the market. In addition, a currency strategist in Sydney suggests that traders bet on the pair's growth in anticipation of new data on the number of jobs in Australia, which should come on Thursday.
"Data on total employment have been in recent months, especially strong, and if they are slightly weaker Australian dollar is slightly surrender. But now every indication that he will rise again," - says the strategist.
However, he believes that "when the pair reaches 1.10, it will unfold in the opposite direction."
