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AUD/USD Through Overnight Lows

AUD

The early tone for AUD/USD has been to the downside, with a firmer USD across the board. The pair has slipped overnight lows, although some support has materialized just under 0.6950. Note the 50-day MA comes in at 0.6942 today.

  • Cross asset signals are weaker from an equity standpoint. Regional Asia Pac markets are mostly lower, while US futures are off a touch. The AU-US 2yr spread is close to -52bps, not too dissimilar to levels from late yesterday. Commodities are down modestly in terms of oil and gold.
  • On crosses, the AUD is underperforming but not dramatically. AUD/JPY is back above 94.00, while AUD/NZD has edged back up from the low 1.1060 region (last at 1.1073).

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