Australia: Business conditions takes a major hit – RBC CM

Sue Trinh, Senior Currency Strategist at RBC Capital Markets, notes that the Australian business confidence rose slightly in Nov to +5, but remains just below the long run average and has averaged this level throughout 2016.

Key Quotes

“While uninspiring, following the US election and moves in markets, this is a reasonable outcome. Business conditions eased slightly in Nov to its lowest level since early 2015 and is consistent with the softer data run of late.  The confluence of resistance (40dma and 200dma) at 0.7534/40 is the key topside level to monitor in the short-term ahead of the FOMC and Thursday’s AU employment data.”