CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure. CFDs are a leveraged product and can result in losses that exceed deposits. Please ensure you fully understand how CFDs work and what their risks are, and take care to manage your exposure.

Australian dollar tumbles following weak capital expenditure

The Australian dollar has taken a fall, as new capital expenditure, and building approvals data is released

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Capital expenditure fell by 0.6% in the June quarter 2018, while the seasonally adjusted estimate fell by 2.5% . The Australian dollar fell from 0.73 to 0.72 upon the news.

The Australian Bureau of Statistics (ABS) released the data on Thursday which shows:

  • The trend volume estimate for buildings and structures fell by 2.1% in the June quarter 2018 while the seasonally adjusted estimate fell by 3.9%.

  • The trend volume estimate for equipment, plant and machinery rose by 1.3% in the June quarter 2018 while the seasonally adjusted estimate fell by 0.9%.

The trend estimates for total dwellings approved fell 1.3% in July. The seasonally adjusted estimate for total dwellings approved fell 5.2% in July.

However, figures for spending expectations for 2018/2019 financial year have been upgraded from the first quater estimate, going up from $88 billion to $102 billion.

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CFDs are a leveraged products. CFD trading may not be suitable for everyone and can result in losses that exceed your initial deposit, so please ensure that you fully understand the risks involved.

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