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-AUD recovers, climbs as Kudlow talks about tax reforms, US-Chinese trade
-European economists are becoming more nervous about the June jobs numbers, due at 02:30.
-Data Comes Like Westpac-MI Leading Index The Australian dollar reversed losses earlier in the afternoon on Wednesday and walked higher before the June jobs report, which traders will watch closely for hints. on the condition of Australia. The consensus suggests that markets are looking for the Australian economy to create 16,700 new jobs in June, up from 12,000 in May. The unemployment rate is expected to remain stable at 5.4% in the past month, despite a 20 basis point decline in May due to changes in participation.
Australian job growth disappointed in 2018. 12 During the monthly period of job gains that often exceeded 40,000 per month, job creation on average was slightly above 14,000. 000 in the first five months of the year
"Most recent declines in We have hedged our bets by forecasting an increase of 20,000 jobs in June, which would be better than the increase of 12,000 in May, but would still cause a decline in the annual growth rate of 2.5% to 2.4%, "says Paul Dales, Economist at Capital Economics ." A similar increase in population size will likely leave the unemployment rate at 5.4%. "
Markets care about labor data because of the influence that changes in unemployment may have on wages and inflation As a result, labor data also lications for interest rates at the Reserve Bank of Australia because it is the inflation that is the most important. central banks try to manipulate when they change rates. Fluctuations in interest rates, or indices of their participation, affect currencies because of the influence they exert on international capital flows and their attractiveness to speculators. short-term
The inflation rate stands at a record low of 1.5% for 23 consecutive months, due to inflation below the target and a household sector heavily indebtedness which, according to him, is poorly equipped to cope with rising wages. Markets do not see a policy change until at least the middle of 2019.
The AUD / USD rate was quoted 0.30% higher at 0.7399 around the London close on Wednesday as the Australian pound-dollar rate was from 0.60% lower to 1.7658. The Australian dollar was also higher against all other currencies of developed countries, with the exception of the New Zealand dollar.
Wednesday's price action comes in a stream of national and international news, with comments from Larry Kudlow helping the Australian unit reverse previous losses and start climbing higher at the time. Wednesday's noon session 
] CNBC News There could be editions of 2.0 and 3.0 and 4.0 of President Donald Trump's tax reforms that are yet to come which, given the extent to which they think they have already boosted US growth, would be beneficial for the world's economy and the Australian dollar sensitive to global growth.
Kudlow's comments came after another morning of London losses for the Australian unit, caused by a surprise decline in the advanced index Westpac-Melbourne Institute which now suggests An Economic Downturn Could Be In The Cards The Westpac-Melbourne Institute's leading index fell from + 0.05% in May to -0.33% in June, according to data released on Wednesday, bringing down the total decline in sales. More than nine months. of 1% for 2018. The index indicates the likely pace of economic activity compared to the trend in the next three to nine months.
"Certainly the trend profile below for the remainder of 2018 and 2019 is in line with Westpac's current growth forecasts," says Bill Evans, chief economist at Westpac. "The biggest difficulties are due to: a reversal of the previously positive contribution of the WestpacMI index Unemployment Expectations (-0.26ppts), a reduction in commodity price support, measured in AUD (-0.21ppts ), and a growing contraction of approvals (Evans, 1964) Evans says he and the Westpac team want to see confirmation of another downward decline in the main index before they are happy to register suggestions that Australian growth has now gone to a lower level path.Total growth describes the long-term average growth rate observed by an economy. fall below trend could indicate wider and more sustained economic slowdown.
"The Bank expects 2018 and 2019 growth to be well above trend, but we believe that The Council's current policies are always different from those of Westpac. 2019, "Evans Sign.
The Australian dollar fell 5.5% against the US dollar this year and 3.3% against the pound as the outlook for Australian interest rates worsened, Commodity prices have fallen and the market's appetite for "risk currencies" has gone down. </ p> <p> Increase uncertainty on international trade prospects
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