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Bulls Remain In Charge Amid Easing Omicron Worry

AUD

Improving risk environment provided support to AUD/USD on Wednesday, as the results of an initial laboratory test conducted by Pfizer/BioNTech sparked optimism about the booster jab's potential to neutralise the Omicron coronavirus variant. Broader yuan strength may have spilled over into the Aussie to a degree, as the redback printed its best levels since 2018.

  • AUD/USD last operates at $0.7168, a touch lower on the day. A break above Nov 25 high of $0.7209 would clear the way to former channel base at $0.7287. Bears see Dec 7 low of $0.7040 as their initial target, a break here would bring Dec 3/Nov 2, 2020 lows of $0.6993/91 into play.
  • No comments on monetary policy today from RBA Gov Lowe, who spoke at the Payments Network Summit. The official next speaks on Dec 16 at the CPA Australia Riverina Business Conference.

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