AUD/USD currently sits at $0.6907,...........>

AUSSIE: AUD/USD currently sits at $0.6907, marginally higher on the day. Today's

local docket includes building approvals, private sector credit data & Q3 terms

of trade. AiG & CBA m'fing PMIs are due on Friday. Also worth watching China's

PMI figures today and tomorrow.

- The rate ticked higher yesterday as Australian Q3 CPI numbers matched

expectations. The impact was short-lived as breakdown data was more questionable

& participants showed caution ahead of the FOMC MonPol decision. The European

session brought some fairly range-bound gyrations before a "hawkish cut" from

the FOMC allowed the rate to re-test its earlier intraday low of &0.6849,

touched in the run-up to the Aussie CPI report. That said, the rate rallied

sharply as Fed Chair Powel noted that the FOMC "don't see inflation moving up

right now," with AUD finishing as the best performer in the G10 basket.

- The pair took out the key Sep 12 peak at $0.6895 yesterday, confirming a broad

double bottom formation. Bulls want to see the rate extend gains towards the

200-DMA at $0.6905. Bears keep an eye on the aforementioned $0.6895 level and a

dip below would expose the 100-DMA, which intersects at $0.6850.