The dollar touched an 11-month high after positive U.S. housing data the previous day fed hopes that the world's biggest economy is strengthening.» Read More
German industrial output fell 1.8 percent on the month in May, its biggest drop in more than two years, surprising most analysts.
Paul Bloxham, Chief Economist for Australia & New Zealand at HSBC, says comments from the central bank governor may continue to weigh on the Australian dollar this week.
The dollar struggled to make more headway after a jump in U.S. job creation left stock markets in optimistic mood.
The dollar was broadly bid on Thursday by a stronger-than-expected U.S. nonfarm payrolls report for June.
*Crown sinks after 50 bps rate cut. LONDON, July 3- The Swedish crown fell to a 3-1/ 2- year low against the euro on Thursday as the central bank cut rates more than expected, while the Australian dollar lost ground after the head of its central bank chief warned the currency could weaken.
Giles Keating, Deputy Global CIO, Private Banking & Wealth Management at Credit Suisse, discusses the central bank's comments and explains his "neutral view" on the currency.
Milk prices may unravel the popular carry trade of using currencies such as the yen or U.S. dollar to buy higher-yielding New Zealand dollar assets.
The report boded well for Thursday's U.S. nonfarm payrolls report, and provided a boost to the dollar.
SYDNEY, July 2- The Australian dollar hovered near an eight-month peak early on Wednesday, having been swept higher by a short squeeze while an upbeat manufacturing survey helped power sterling to levels not seen in nearly six years.
A UK factory survey adds to evidence that Britain's consumer-led recovery is becoming more balanced and sustainable.
The euro held near a six-week high against the dollar on Tuesday, threatening a break past $1.37.
As the Australian economy recovers, the central bank will be more likely to let the Australian dollar appreciate, says Andrew Abrahamian, Head of FX Strategy at Compass Global Markets.
Jonathan Cavenagh, Senior FX Strategist at Westpac Institutional Bank, says uncertainty over the economy may result in a more dovish central bank, which in turn will hurt the Australian dollar.
The dollar looked set for a second week of losses on Friday, after a string of poor U.S. economic data that gave investors no reason to expect higher interest rates soon.
Despite a plethora of headwinds, Australia shares may be poised for a rally, as analysts expect more companies to pursue acquisitions.
Sterling rallied on Thursday after new measures to cool the UK housing market failed to dampen rate rise expectations.
The pound saw losses after comments from the BoE cooled expectations for an interest rate hike, while its G3 counterparts drifted in well-worn ranges.
The British pound fell after the Bank of England did little to bolster rate hike expectations.
The Australian and New Zealand dollars both jumped on Monday, after a promising China manufacturing survey.
*Euro zone business activity growth slows as France lags. LONDON, June 23- European stocks fell on Monday after euro zone business activity data showed growth slowing, with France a notable laggard, in contrast with upbeat numbers from China that lifted Asian shares and the Australian dollar.