WSJ:Australian Dollar Up But Slips On Greece Debt News
Rates At 0630 GMT
Latest Change
AUD/USD 1.0637 +0.2%
AUD/JPY 87.1955 +1.2%
6.25% Apr, 2015 4.1255% +0.06
5.50% Mar, 2023 4.1932% +0.06
10-Yr Spread To U.S. +208 bps +2 bps
SFE Mar 3-Year Futures 96.365 -0.07
SFE Mar 10-Year Futures 95.94 -0.06
SYDNEY (Dow Jones)--The Australian dollar was trading higher late Friday but gave up some of its gains after Greece announced results of its distressed-debt exchange with private creditors.
News that a special committee of the International Swaps and Derivatives Association will meet at 1300 GMT Friday to consider a question from a market participant on whether Greece has suffered a credit event hurt the Aussie.
At 0630 GMT, the Australian dollar was trading at US$1.0637 from US$1.0605 late Thursday and Y87.195 from Y86.17.
At 0600 GMT, Greece said that 85.8% of its private-sector creditors had agreed to turn in their bonds for new ones with less than half the face value.
Slowing China inflation helped support the Aussie as dealers bet on further policy easing by Beijing, which helped cushion the blow of an unexpected trade deficit in January for Australia.
The Australian dollar slumped on news that Australia posted a seasonally adjusted trade deficit of A$673 million (US$716 million) in January, compared with a surplus of A$1.33 billion in December.
That figure was lower than analyst expectations for a surplus of A$1.5 billion. It was the first deficit since February 2011.
Economists blamed the result on poor weather and the Lunar New Year festival in January, which led to a decline in exports.
"A bounce back in exports through February and March will likely see trade surpluses return in the first quarter; however, the trade balance will likely again return to deficit in coming quarters due to the large rise in capital goods imports and a further downward correction in the terms of trade through 2012," said economists at ANZ Bank.
U.S. non-farm payrolls will be the focus during New York trade.
-By Enda Curran, Dow Jones Newswires; 61-2-8272-4687; enda.curran@dowjones.com
