Free Trial

AUD/USD was driven by the combination of.....>

AUSSIE
AUSSIE: AUD/USD was driven by the combination of the broader risk backdrop and
RBA rhetoric. The pair now sits at $0.6812, 10 pips higher on the day.
- The pair was offered early doors on the initial risk-off tone inspired by a
BBG source report re: the U.S. holding off on licenses for U.S. firms wanting to
restart business with Huawei. RBA Gov Lowe's parliamentary testimony brought
respite, his comment that Australian economy may have reached a "gentle turning
point" allowed AUD/USD to return to positive territory. After a knee-jerk lower
on a quickly downplayed mention of unconventional policy tools, the pair
fluctuated within a ~20 pip range through the rest of the session.
- The 38.2% fibo retracement of the Jul-Aug fall at $0.6832 remains the initial
bullish target. Conversely, bears look for a the $0.6750-46 area, which limited
loses on Aug 5, 6 & 8. Below opens the lower 1.0% 10-DMA envelope at $0.6743.
- Australian data highlights next week include domestic NAB biz. conf. survey
(Tuesday), as well as labour mkt report & quarterly wage price index (Thursday).
RBA's Kent speaks on Tuesday, while his RBA colleague Guy Debelle will appear
twice, on Wednesday and Thursday.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.