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CurrencyShares Australian Dollar Trust ETF (FXA)

  • Aug. 6, 2013, 2:23 AM
    • The Reserve Bank of Australia has reduced its key interest rate by a quarter of a percentage point to a record low of 2.5%. This is the eighth cut since the RBA started an easing cycle in November 2011.
    • RBA Governor Glenn Stevens explained that "the economy has been growing a bit below trend over the past year," which is expected to continue in the short term due to falling mining investment.
    • Stevens also cited the strength of the Australian dollar. Although the currency "has depreciated by around 15% since early remains at a high level. A further decline "would help to foster a rebalancing of growth in the economy."
    • In a slight change of language Stevens said that the "RBA has previously noted that the inflation outlook could provide some scope to ease policy further, should that be required to support demand." Interpret it how you like as to whether that means the RBA is or isn't open to more cuts.
    • The Aussie (FXA) is +0.6% at $0.8984, as the bank's move was widely expected. (PR)
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  • Aug. 4, 2013, 4:29 AM
    • Australian Prime Minister Kevin Rudd has called a general election for September 7, saying the poll will be about who can best lead the country "through the difficult new economic challenges which now lie ahead."
    • Rudd's Labor Party has reduced the lead of the right-of-center Liberal Party since Rudd deposed Julia Gillard as PM six weeks ago in an internal Labor coup.
    • The Liberals, led by Tony Abbott, have vowed to scrap mining and carbon taxes if they win the ballot, policies that would affect the likes of BHP (BHP), Rio Tinto (RIO), Peabody Energy (BTU), Vale (VALE), and Glencore (GLCNF.PK).
    • Relevant country ETFs include: Stocks - EWA, EWAS, KROO, AUSE, FAUS. Bonds - AUD, AUNZ; Forex - FXA, GDAY, CROC
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  • Aug. 1, 2013, 2:59 PM
    • CurrencyShares Australian Dollar Trust (FXA) announces monthly distribution of $0.1501.
    • For shareholders of record Aug. 05.
    • Payable Aug. 08.
    • Ex-div date Aug. 01. 
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  • Jul. 30, 2013, 12:14 AM
    • The aussie (FXA) falls 1.4% against the dollar to 0.9074 on comments by RBA Governor Glenn Stevens.
    • Recent inflation data provide some scope for further rate cuts, Stevens says.
    • "The recent decline in the exchange rate seems to make sense from a macroeconomic perspective," he notes, adding that "it would not be a major surprise if a further decline occurred over time.” By "over time" Stevens apparently meant over the next half hour or so.
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  • Jul. 24, 2013, 3:22 AM
    Australian CPI held steady +0.4% on quarter in Q2 vs consensus of +0.5%. On year, inflation +2.4% vs +2.5% in Q1 and forecasts of +2.5%, and in line with the RBA's target of 2%-3%. Prices increased for apparel, footwear and health care, although transportation costs fell. AUD-USD (FXA) -0.4% to $0.9255. (PR)
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  • Jul. 19, 2013, 7:29 AM
    China's PBOC eliminates the country's lending rate floor - which prevented banks from lending below a centrally planned price - and also says it will reform deposit caps. There's "no direct economic impact except (a) positive message of reform," says Sebastien Galy. Nevertheless, the aussie (FXA) pops about 50 pips. China financial ETF: CHIX.
  • Jul. 16, 2013, 1:34 PM
    Either a change in trend or a chance for shorts to reload, the aussie (FXA +1.5%) is having maybe its best session of the year after RBA minutes suggest policymakers are considering a pause in the easing cycle. A number of rate cuts and a substantial devaluation of the currency are working their way through the system, and the central bankers note the inflation outlook is now "slightly higher." Traders are now pricing in a 54% chance of an August cut, down from 65% a day ago.
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  • Jul. 15, 2013, 9:57 PM
    Japanese stocks jump early after a three-day weekend, as the Nikkei rises 0.8%. Meanwhile, South Korean and Chinese shares trade fractionally lower and Australian equities rise modestly after RBA minutes indicate the central bank believes the inflation outlook "could still provide some scope for further easing" if necessary, although "lags" in the monetary policy transmission channel may make a wait-and-see approach appropriate for the time being. The aussie (FXA) is at $0.9158 at last check.
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  • Jul. 12, 2013, 8:32 AM
    The tumbling Australian dollar (FXA) falls below $0.90 for the first time in about 3 years amid rising unemployment and as Beijing's mandarins dial back even further their expectations for economic growth. The aussie's 1.6% decline today has the currency off about 15% vs. the greenback in the last 3 months. The unhedged Australian stock index ETF (EWA) -1.7% premarket.
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  • Jul. 11, 2013, 2:01 AM
    Australia's unemployment rate rose to the highest in almost four years in June, increasing to 5.7% from 5.6% in May, although the number of people employed climbed by 10,300 on month. Full-time jobs -4,400, part-time employment +14,800. The "shallow uptrend in unemployment that's been in place for a while is continuing, consistent with an economy that's running below trend," says economist Michael Blythe. Shares (EWA) +1.2%, Australian dollar (FXA) +1.3% to $0.9295. (PR)
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  • Jul. 8, 2013, 9:35 AM
    The struggling loonie (FXC) should be about done going down and could rise back to parity with the greenback in 2014, according to CIBC. The loonie has slid along with the aussie (FXA) this year thanks to disappointing global growth and the fall in commodity prices, but that's where the comparison ends, says CIBC. The countries are at different stages of the business cycle and each with a different export focus: Oz is China, meaning iron ore and coal, and Canada more tied to oil, vehicles, parts, and machinery.
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  • Jul. 8, 2013, 8:41 AM
    The dollar (UUP) and the euro (FXE) should continue as the favored currencies among developed economies (they're currently #1 and #2 YTD), says UBS, thanks to stronger U.S. growth and eased political risk in the EU. Their gains will come at the expense of the safe-haven Swiss franc (FXF) and the commodity-linked aussie (FXA).
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  • Jul. 2, 2013, 2:01 AM
    As expected, the Reserve Bank of Australia has left its benchmark overnight cash-rate target at a record low of 2.75%, citing below-average growth at home and abroad. RBA Governor Glenn Stevens also noted that the Australian dollar remains high but could "depreciate further over time, which would help to foster a rebalancing of growth." Stevens reiterated that inflation could "provide some scope for further easing" if necessary. The Aussie (FXA) is -0.7% at $0.9175. (PR)
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  • Jul. 1, 2013, 8:28 PM
    CurrencyShares Australian Dollar Trust (FXA) announces monthly distribution of $0.1501. For shareholders of record July 03. Payable July 09. Ex-div date July 01.
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  • Jul. 1, 2013, 3:25 PM
    The cash squeeze in China was instigated in Beijing by a central bank grasping for some way to slow out-of-control credit growth, reports the WSJ, citing internal bank documents. With the panic subsided (for the moment), the finger-pointing begins, taking away from the question of what to do about what even Beijing leadership sees is a massive credit bubble. FXI continues near a 52-week low, and so do assets like the Aussie dollar (FXA), and miners VALE, RIO, and BHP Billiton (BHP, BBL).
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  • Jun. 26, 2013, 6:09 AM
    Australian Prime Minister Julia Gillard has lost a Labor Party leadership election to Kevin Rudd, who Gillard ousted three years ago in similar circumstances. Labor is heavily behind in the polls to the opposition Liberals ahead of a national election that has been scheduled for September. The Australian dollar (FXA) jumps and is +0.55% vs the USD at $0.9306.
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FXA Description
CurrencyShares Australian Dollar Trust is designed to track the price of the Australian Dollar net of Trust expenses, which are expected to be paid from interest earned on the deposited Australian Dollars.
See more details on sponsor's website
Country: Australia
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