Australia NAB Business Confidence Falls To Lowest Level

Australia NAB Business Confidence Actual -32, Previous -20

Release Explanation: This is a survey of the current state of the business sector in Australia. Based on a survey of hundreds of small to large sized companies, the National Australia Bank delivers monthly and more comprehensive quarterly reports from the gathered data. This comprehensive survey primarily provides insight into the state of the Australian economy and puts forth leading indicators that signal its future direction. The survey's findings, if unexpected, have the power to move markets directly.

Trade Desk Thoughts: The National Australia Bank released the business confidence report this evening. Business confidence in Australia has fallen to -32. This is a record low for the index that was started in 1989 as demands for exports decline. This also adds to the fact that the Australian economy is falling into its first recession in the past two decades. This negative reading denotes that the number of pessimists outweigh optimists.

Forex Technical Reaction: The Australian dollar has fallen to below the neutral pivot point. The volatility seen in the major pairs has been due to the U.S. stimulus package in which President Obama will be speaking about at 20:00.

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