The Australian dollar climbed to a record high against the euro as investors used the shared currency to buy higher-yielding assets.
The Aussie fell for a third day against the greenback amid concerns China’s economic slowdown may be worse than perceived and Europe’s debt crisis remains unresolved. New Zealand’s dollar rose against the euro and fell against the U.S. dollar. China, Australia’s biggest trading partner, said inbound shipments rose less than expected.
There is “less demand” for commodity currencies, Fabian Eliasson, head of U.S. currency sales at Mizuho Financial Group Inc. in New York, said in an interview. “Overall fear that global growth is slowing down -- China coupled with Europe -- doesn’t give much hope.”
The Australian dollar gained as much as 0.6 percent to A$1.1988 per euro yesterday in New York before trading at A$1.2020, up 0.4 percent. The Aussie declined 0.2 percent to $1.0192 and fell 0.3 percent to 80.95 yen. The
New Zealand’s currency, nicknamed the kiwi, rose 0.2 percent to NZ$1.5430 per euro. The kiwi fell 0.3 percent to 79.40 U.S. cents and depreciated 0.5 percent to 63.06 yen.
A report today may show Australia failed to gain jobs in June and the unemployment rate rose to 5.2 percent, from 5.1 percent the previous month, according surveys of economists Bloomberg News.
China’s imports rose 6.3 percent from a year earlier, the customs bureau said in a statement yesterday in Beijing, compared with the 11 percent median estimate in a Bloomberg survey. Exports climbed 11.3 percent.
The world’s second-largest economy is projected to report a slowdown in the second quarter when it releases gross domestic product data on July 13.