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$A higher on a quiet day of trading

Reported by AAP
Friday, November 23, 2012
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The Australian dollar has moved slightly higher on a quiet day of trading, after the US markets were closed for the Thanksgiving holiday.

At 1700 AEDT on Friday, the Australian dollar was trading at 103.98 US cents, up from 103.84 US cents on Thursday.

From 0700 AEDT, it has traded between 103.76 US cents and 103.99 cents.

RBC Capital Markets currency strategist Michael Turner said that with the US on holiday, little had happened in global or local markets, keeping the local currency trading in a tight range.

"The Aussie dollar's been modestly supported, and it's just below 104 US cents," he said.

"When there's a lack of bad news, the Aussie just seems to creep higher, and that's what's happened today."

The focus will return to Europe next week, with EU finance ministers meeting on Monday to hammer out a deal on Greek debt.

"They should find some solution for Greece, which should keep our currency in strong territory," Mr Turner said.

"Locally, we have capex (capital expenditure) data next week, then all eyes will turn to the RBA (Reserve Bank of Australia), and their decision on rates."

The RBA left the cash rate unchanged at its last meeting on November 6, and will meet on December 4 for their last board gathering until February 2013.

At 1700 AEDT on Friday, the Australian dollar was at 85.53 Japanese yen, down from 85.62 yen on Thursday and at 80.68 euro cents, down from 80.83 euro cents.

Meanwhile, Australian bond futures prices ended lower.

At 1630 AEDT on Friday, the December 10-year bond futures contract was at 96.780 (implying a yield of 2.220 per cent), down from 96.830 (3.170 per cent), on Thursday.

The December three-year bond futures contract was trading at 97.260 (2.740 per cent), down from 97.320 (2.680 per cent).

CMC markets chief market strategist Michael McCarthy said strong Chinese manufacturing data on Thursday had given a boost to economic sentiment around the world.

"It speaks to a better growth outlook in China," he said.

HSBC's Chinese Purchasing Managers' Index rose to 50.4 in November, from 49.5 a month earlier - putting it in expansionary territory for the first time in 13 months.

24/11/2014 03:51Sydney, Australia. 24 November,2014
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