A$ Weakens Slightly, Employment Data Coming Up

Aussie was little changed against most currencies on Wednesday with AUDUSD down 0.1% to 0.6420. There was a knee jerk reaction to the slightly higher-than-expected US CPI but was subsequently unwound. The USD index was marginally higher.

• 0.6400 provided support with trade above this level through the day apart from around the US CPI release. AUDUSD remains in a bearish trend with the bear trigger at 0.6365. Initial resistance is at 0.6445, the 20-day EMA.
• AUDNZD saw the largest move falling 0.3% to 1.085, close to the intraday low of 1.0845. AUDJPY is 0.1% higher at 94.62. AUDEUR is up 0.1% to 0.5983 and AUDGBP down 0.1% to 0.5141.
• Equity markets were mixed with the S&P up 0.1% but the Euro stoxx down 0.4% and the FTSE flat. Oil prices were almost unchanged with Brent closing at $92.19/bbl. Copper fell 1.5% and iron ore approached $120/t but is now around $119.
• Today key employment data print with jobs expected to rise 25k and the unemployment rate remain at 3.7% (see MNI Local Big-4 Banks More Optimistic On Jobs Report Than Consensus). There is also Melbourne Institute inflation expectations for September.