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AUD Steadies After Pushing Higher On Monday

AUSSIE

A revision to Westpac's RBA easing call gave AUD/USD a head start in Monday's Asia-Pac trade, as their analyst Bill Evans said he expects interest rate cuts in Nov rather than Oct. The pair continued to climb as the greenback lost ground, amid a broadly risk-on mood.

  • Western Australia's daily coronavirus count overtook that of Victoria's yesterday, after 17 infected members of the crew of a bulk carrier ship came ashore.
  • The AFR reported that PM Morrison is set to unveil A$800mn in measures amounting to the government's "digital push".
  • Meanwhile, the most recent communique from NZ & Australian officials suggested that the two countries will aim to create a travel bubble involving New Zealand and parts of Australia, possibly starting with a Sydney-Auckland bubble.
  • AUD/USD last trades +3 pips at $0.7075, with bulls looking to take out Sep 25 high of $0.7087. Above there opens up the 50-EMA at $0.7155. Conversely, a dip through Sep 25 low of $0.7006 would expose the 38.2% retracement of the Mar - Sep rally at $0.6965.
  • Australian private sector credit and building approvals come out tomorrow, job vacancies and AiG & CBA M'fing PMIs hit on Thursday, with retail sales coming up on Friday.

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