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Early risk aversion and Sino-Australian......>

AUSSIE
AUSSIE: Early risk aversion and Sino-Australian disputes re: trade matters
pulled AUD/USD lower in Tuesday's Asia-Pac trade, but the rate recoiled into
Europe and advanced past the $0.6500 mark amid renewed USD weakness. It failed
to sustain gains and retreated later in the day, with continued focus in
Sino-Aussie & Sino-U.S. tensions.
- The rate sits at $0.6473, little changed at typing. Bears look for a drop
through the 20-/50-EMAs at $0.6423/6396, towards the key support level at
$0.6373, which represents May 4 low. A break here would signal that the rate may
be finding a top. Bulls need gains past the 100-DMA at $0.6528 and the key Apr
30 high of $0.6570 to resume the uptrend.
- In local news, Australian Treasurer Frydenberg has tested negative for the
novel coronavirus. He decided to take a test after experiencing a heavy cough
during his yesterday's speech in parliament.
- Westpac Consumer Confidence & wage price indices headline today's docket in
Australia. Consumer inflation exp. and labour mkt report are due tomorrow.

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