The EUR/AUD price rose by more than 400 pips, after the release of european and australian data last week.
Eurozone economic growth rate remained stable in the first quarter, according to Eurostat. Gross domestic product expanded 0.5 percent sequentially, in line with expectations. The EU28 grew 0.4 percent from the prior quarter, when it advanced 0.6 percent. The annual growth rate remained stable at 1.9 percent. The European Union's statistics agency said the number of unemployed workers fell by just 5,000 during the month. This drop left the unemployment rate unchanged at 9.5%, down from 10.2% a year earlier.
Germany: Unemployment rate, at record-low
German unemployment extended its four-year decline last month, suggesting companies are confident that momentum in Europe’s largest economy remains strong. Joblessness slipped 15,000 in April vs estimated 11,000 drop. Unemployment rate remained unchanged in Germany, at record-low 5.8%.
Draghi’s remarks stayed clear of the monetary policy outlook
European Central Bank President Mario Draghi on Thursday said that the European Union is "being wrongly held responsible" for decisions that belong to individual countries. Mario Draghi's prepared remarks stayed clear of the monetary policy outlook. Monetary union "is sometimes claimed to be the cause of low growth in parts of the euro area. Yet we have seen that for countries that implemented structural reforms and ran sound fiscal policies, the single currency has been no barrier to success”, Draghi added in Lausanne, where he was accepting an award from the Jean Monnet Foundation for Europe.
RBA: Low expectations for economy
Australian increase in household debt relative to the income has made the economy less resilient to future shocks, according to the Governor of the Reserve Bank of Australia, Philip Lowe.
Australia posted a seasonally adjusted merchandise trade surplus of A$3.107 billion in March, the Australian Bureau of Statistics said on Thursday. That was shy of forecasts for A$3.250 billion and down from A$3.574 in February.It was also down A$550 million or 15 percent on year.Exports gained A$776 million or 2 percent on month to A$33.343 billion.
Non-monetary gold surged A$443 million (32 percent), rural goods climbed A$271 million (7 percent) and non-rural goods added A$19 million. Net exports of goods under merchanting fell A$1 million (2 percent). Services credits added A$45 million (1 percent). Imports were up A$1.325 billion or 5 percent on month to A$30.235 billion.