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AUD Catching Up With Buoyant Commodities

FOREX

The reflationary theme in currency markets continues, with AUD/USD shooting higher and topping $0.80 for the first time since 2018. The currency's taken the lead from commodity markets, whose persistent rally has extended this week and put AUD/USD within range of the key double top resistance from 2017/2018 at 0.8125/36.

The greenback is softer, but JPY is the weakest in G10 alongside CHF as risk sentiment and the reflationary theme continues to work against haven currencies.

Scandi currencies outperform, with NOK, SEK firmer. Both currencies are are new multi-month highs against the greenback.

Focus Thursday turns to weekly jobless claims, another revision for Q4 GDP data, prelim durable goods orders and January pending home sales data. The central bank speaker slate is once again busy, with comments scheduled from Fed's Bostic, George, Bullard, Quarles & Williams as well as ECB's Lane, Guindos and de Cos.

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