The Australian dollar traded 0.4 percent from a three-month low before a report forecast to show the nation’s trade deficit widened while U.S. data due today is predicted to add to evidence of an acceleration in growth there.
Australia’s economy expanded slower than economists forecast last quarter after households boosted savings, suggesting the central bank may need to do more to spur spending as a mining investment boom wanes. The Aussie fell.
What makes Virgin Australia Holdings Ltd., the second-largest competitor in a market with only 23 million passengers, such an attractive takeover target? The chance to weaken Qantas Airways Ltd. on international routes.
GrainCorp Ltd., eastern Australia’s largest grain handler, said Chief Executive Officer Alison Watkins resigned after a A$2.2 billion ($2 billion) takeover bid by Archer-Daniels-Midland Co. was blocked by Australia.
Archer-Daniels-Midland Co.’s A$2.2 billion ($2 billion) takeover of GrainCorp Ltd. was blocked by Australia, prompting a record drop in shares of the east coast’s biggest crop handler and a slide in the local currency.
Archer-Daniels-Midland Co.’s failure to win Australian approval to buy GrainCorp Ltd. opens the door for share buybacks, bigger dividends or other acquisitions as the company reviews how to use about $3.5 billion in cash.