Australia's GDP increases in 3rd Quarter. Australian dollar lower in forex trading this morning. | CountingPips Forex Blog

December 3, 2008 - Forex Economic News

Australia's GDP increases in 3rd Quarter. Australian dollar lower in forex trading this morning.

The Australian economy grew at the slowest pace in almost eight years in the third quarter of 2008 according to a release today by the Australian Bureau of Statistics. The GDP report released today showed that the Gross Domestic Product grew by 0.1 percent in the July to September quarter following growth in the second quarter of a revised 0.4 percent.

On an annual basis, the GDP grew at 1.9 percent over the third quarter of 2007 following an annual growth rate of 2.9 percent in the second quarter. Economic forecasts had expected AUD lower in Forex Trading that the GDP growth would be approximately 0.2 percent for the third quarter and 1.9 percent over last year's third quarter.

The third quarter GDP was the lowest quarterly growth since the December of 2000 quarter when the GDP contracted by 0.8 percent. Contributing positively to the GDP numbers for the quarter was an increase in the output of the farming sector by 15 percent. Excluding the farming sector the GDP would have contracted by 0.3 percent.

Today's GDP number comes a day after the Reserve Bank of Australia reduced its interest rate by a full percentage point. The RBA has shaved off 3 percentage points from the official cash rate since September to help avert a recession in the Australian economy and bringing the rate down to 4.25 percent.

Australian dollar slightly lower in Forex Trading this morning.

The Australian dollar has been losing ground today in forex trading this morning after showing gains in trading yesterday. The Australian dollar has declined verses the U.S. dollar as the AUD/USD trades at 0.6426 in the morning of the US trading session at 8:10 am ET from today's opening exchange rate of approximately 0.6454.

The Aussie has declined verses the Japanese yen as the AUD/JPY trades at 59.73 from today's open exchange rate of approximately 60.19 yen per aussie. Against the Canadian dollar, the aussie has declined slightly to trading at 0.8066 from 0.8078 earlier today while against the New Zealand kiwi, the aussie has declined from 1.2195 kiwi per aussie at today's open to trading at 1.2150 in the U.S. morning.

The euro, meanwhile, has declined verses the aussie this morning to trading at 1.9640 aussie per euro after opening today at approximately 1.9679.

AUD/USD Chart - The Australian dollar falling vs. the US dollar in forex trading this morning after increasing yesterday(30 Min. Chart).

Today's Forex Chart

tags: australia gdp, economy, forex trading

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