The Aussie Jumps to a Two Month High as Chinese Construction Contracts Les Than Expected

“Australia’s dollar was set for a five-day advance before Chinese data next week that may show the world’s second-largest economy is picking up.

The so-called Aussie was near a two-month high after a private report showed the nation’s construction industry contracted at a slower pace. Demand for the currency was also supported after data showed Australia’s trade deficit widened by less than economists predicted as exports withstood a slower global economy and capital goods purchases increased.

“Chinese economic data are improving after concern about a slowdown,” said Teppei Ino, a Tokyo-based analyst at Bank of Tokyo-Mitsubishi UFJ Ltd., a unit of Japan’s biggest financial group by market value. “That’s providing some support for the Australian and New Zealanddollars.”

Australia’s currency traded at $1.0478 as of 5:07 p.m. in Sydney. Yesterday it rose 0.3 percent to $1.0486 in New York after touching $1.0516, the highest since Sept. 21. The New Zealand dollar, nicknamed the kiwi, bought 83.19 U.S. cents from 83.27. The Aussie has risen 0.5 percent this week, while the kiwi has advanced 1.4 percent.”

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