AUD/USD has gyrated somewhat in early........>

AUSSIE: AUD/USD has gyrated somewhat in early trade, now trades 9 pips higher at

$0.6765. The initial drop was driven by the designation of China as a currency

manipulator by the U.S. Treasury. However, the rate bounced as the impact of a

strong New Zealand's jobs report spilled over into AUD, to a degree.

- Focus is on the MonPol decision from the RBA, due later today. No change to

the cash rate is exp. after two back-to-back cuts at the two latest meetings.

- Aussie trade balance and ANZ job adverts also hit today. RBA Asst Gov Bullock

speaks on Thurs & Gov Lowe appears on Fri, when the Bank will publish its SoMP.

- RBC brought their RBA call forward, now exp. a cut in Nov rather than in Feb.

- A break above the trendline support-turned-resistance at $0.6779 would bring

the $0.6800 level into play. Should the round figure give way, bulls would

target $0.6819, which represents the 100-HMA & Aug 2 high. The downside focus

falls on the lower Boll band (2%)/Jan 3 YtD low of $0.6742/41, a break would

open the $0.6700 mark & signal that the bearish tone remains strong.

- This occurs after the rate shed 45 pips yesterday, pressured by the escalating

U.S.-China trade war, which resulted in USD/yuan cracking above the 7.0 level.