AUD/USD Fails To Recoup RBA-Inspired Losses

A speech from RBA Asst Gov Kent (as a reminder: he flagged that BBSW could pop below zero) applied pressure to AUD/USD on Tuesday, but the rate recovered somewhat over the WMR fix amid hopes for progress in U.S. fiscal talks & a parallel move in USD/CNH, which printed its worst levels since Jul 2018. AUD/USD, in turn, showed at a fresh monthly low and despite the aforementioned spell of recovery finished in negative territory, extending its losing streak to four consecutive sessions.

• Pressure is still mounting on Victoria's Premier Andrews, with the AFR reporting that the CEOs of some of Australia's largest companies wrote to the politician arguing that existing lockdown measures are unsustainable.
• Separately, South Australia's Premier Marshall said that he wrote to New Zealand's Premier Ardern, asking her to allow travellers to the state to avoid quarantine upon return to New Zealand.
• AUD/USD trades flat at $0.7049 and a break under Oct 20 low of $0.7021 would expose Sep 25 & bear trigger at $0.7006. Conversely, a move through Oct 19 high of $0.7115 would open up Oct 15 high of $0.7170.
• Preliminary retail sales headline in Australia today. Later in to week, focus moves to a speech from RBA's No. 2 Guy Debelle and NAB Business Confidence (Thursday) as well as flash CBA PMIs (Friday).