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AUD/USD Testing Week To Date Lows, AUD/JPY Close to 50-Day MA

AUD

AUD/USD is back testing yesterday's low close to 0.6850 (last 0.6860). We are down around 0.6% on NY closing levels. Risk appetite is under pressure around the region, with key equities in the red, while US futures are also lower by close to 1%. Recessionary fears seem the main catalyst, absent headline drivers. AU-US spreads are at lows back to mid June (-43bps on a 2yr basis). AUD/JPY is off by over 1% on the day, through 93.00 (last 92.70). Note the 50 day MA comes in at 92.44. for this pair.

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