Aussie Dollar Remains Low, Unemployment Increases in the US (Bloomberg.com, April 13th 2012)

April 13th 2012, Timothy R. Homan, Alex Kowalski, Monami Yui, Masaki Kondo, Mariko Ishikawa & Allison Bennett, Bloomberg.com

Throughout the week, we have seen the AUD fall to as low as US$1.023, however rose to US$1.045 today as the week closed as seen below from XE.com.

(Source: XE.com, April 13th 2012)

Despite the rise, at 1.045 the AUD against the USD is low compared to when it once was just a month ago where it was 1.0623 (XE.com, 2012).

According to Mariko Ishikawa from Bloomberg, the drop is due to slow growth in China economy more than economists forecast as well as the Reserve Bank bringing down interest rates to "prop up the economy" (2012).

In the US 380,000 unemployment claims came in this week totally almost 30,000 more than economist had expected (Homan & Kowalski, 2012). This should cause concern among the Federal Reserve policy makers that bringing the economy back up may take more effort and time than planned (Homan & Kowalski, 2012).

This of course will be manifested in the drop of the Dollar despite a upwards trend the past week.

(Source, XE.com, April 13th 2012)

To read the full articles, go here:
Homan, TR & Kowalski, A 2012, Bloomberg.com
Yui, M & Kondo, M 2012,Bloomberg.com
Ishikawa, M 2012, Bloomberg.com
Bennett, A 2012, Bloomberg.com