A$ Continues Rally, Breaks Resistance

Aussie has continued to rally during APAC trading as equities are generally stronger across the region. After rising 0.5% on Monday AUDUSD is up 0.2% so far today to 0.6461, breaking above initial resistance at 0.6457, April 18 high, opening up 0.6498, 20-day EMA. The USD index is down 0.1%.

• AUDNZD has broken above 1.09 today and is currently around 1.0912, close to the intraday high. AUDJPY is 0.1% higher at around 100.00. AUDEUR is up 0.2% to 0.6064 and AUDGBP +0.2% to 0.5231.
• The pickup in private sector activity seen in Q1 was sustained into Q2 according to the Judo Bank preliminary PMIs for April. The composite PMI rose to 53.6 from 53.3, highest since April 2022 but the AUD looked through the data.
• Equities are generally stronger with the ASX up 0.4% and the Hang Seng +1.5% but China’s CSI 300 is down 0.6%. The S&P e-mini is slightly lower. Oil prices are up moderately with WTI +0.3% to $82.16/bbl. Copper is down 0.8% and iron ore is off its intraday high but is over $115.50/t.
• Later US preliminary April Global S&P PMIs, new home sales and Philly & Richmond Fed indices as well as European PMIs print. BoE’s Pill and Haskel speak.