Australian Dollar Jumps To Two-Week High On China Optimism

Published on Sep 15, 2023 17:13

The Australian dollar jumped to a two week high on Friday amid positive economic data from China. China`s retail sales increased by 4.6% year-on-year in August 2023, quickening from a 2.5% growth in the prior month while industrial production grew 4.5% year-on-year in August 2023, accelerating from a 3.7% rise in July and above forecasts of 3.9%. Meanwhile, China reduced the reserve requirement ratio for the second time this year to support the struggling economy. The weighted average RRR for banks will be about 7.4 percent, the People`s Bank of China said in a statement on Thursday. Besides, a slight pull back in dollar index after catapulting to fresh six month highs yesterday on the back of positive US economic data is also benefiting the Australian currency. AUDUSD is currently quoting at $0.6476, up 0.28% on the day and best level since the start of the month.