CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 63% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the High risk of losing your money.

Dalian iron ore jumps 6% to record highs on fresh trade optimism, will it help the Aussie?

2019-06-19 10:45

Iron-ore prices traded on the Chinese Dalian Commodity Exchange (DCE) staged a solid comeback and rallied nearly 6% to hit an all-time high of 812 yuan ($117.66) a tonne on Wednesday.

The upsurge is backed by the revived optimism over a potential US-China trade deal to be reached when the US President Trump meets his Chinese counterpart Xi ahead of the G20 meeting in Japan next week. 

Adding to this, the concerns over tighter supplies also buoyed the sentiment around the ferrous metal after the total iron ore shipment from Australia and Brazil fell 706,000 tonnes last week.

The bounce in the prices is likely to keep the downside restricted in the Australian dollar, as iron-ore is Australia’s top export product.

However, AUD/USD  remains trapped in a tight range near 0.6875 region, as the latest trade-related headlines and overtly dovish RBA June meeting’s minutes could outweigh the risk-on rally in the Asian equities and the iron-ore price rebound. Meanwhile, markets await the FOMC monetary policy decision for the next direction on the Aussie.

AUD/USD Technical Levels to Watch


This article is published only for general use basic informatory purposes and should not be considered or depended on as a financial or investment advice. Investors should make sure that they understand the risks and seek independent financial advice at all times. CFDS ARE COMPLEX INSTRUMENTS AND COME WITH A HIGH RISK OF LOSING MONEY RAPIDLY DUE TO LEVERAGE.

Economic news

    Exchange Rates

    GBPUSD +0.91% 1.41308
    EURUSD -0.17% 1.2144
    XAUUSD +0.20% 1836.61
    XTIUSD -0.96% 64.757
    NAS100 -2.55% 13390.2
    US30 +0.13% 34844.7