A$ Struggles Above 20-Day EMA (0.6720), FM Wong Travels To Beijing, RBA Mins On Tap

AUD/USD couldn't build on momentum above 0.6700 post the Asia close, with resistance evident around the 0.6730 region (the 20-day EMA comes in at 0.6720). We finished the NY session close to 0.6700, which is where we currently sit (+0.20% for Monday's session). Coming up today Australian Foreign Minister Wong travels to Beijing to meet with her counterparts, while the RBA minutes are also due.

• The meetings in Beijing, which came after an invitation from China, will include the 6th Australia-China Foreign and Strategic Dialogue. This is the first time this dialogue will be held since 2018. The 21st of December will also mark the 50th anniversary of diplomatic relations between the two countries.
• Any further signs of thawing tensions should be positive for the AUD.
• Elsewhere commodities fell 0.95% in terms of the Bloomberg aggregate index, while the base metals sub-index was down by a similar amount. Iron ore stabilized somewhat between $107-$108/tonne.
• Other headwinds came from lower US equities and a firmer US cash Tsy yield backdrop, which likely helped curb A$ gains through NY trading.