January 19, 2023 21:55 GMT
Employment Data Weighs
AUD
AUD/USD prints at $0.6910, down ~0.5% in yesterday's trading. Only NZD was a weaker performer in G10 space at the margins.
- Weaker than expected Australian employment data weighed on the AUD yesterday. Support came in ahead of the 20-Day EMA.
- The AUD/USD pared its losses, to recover $0.69, before dealing in a $0.6890/6920 range in the NY session. A recovery off session lows in US Equities and pressure on the greenback, as EUR/USD rallied, helped the AUD firm in late trading.
- AUD/NZD firmed off lows, the cross is now dealing above the $1.08 handle, as it re-tests its 20- and 50-day EMAs.
- Cross asset flows were mixed, DXY was ~0.3% softer and S&P500 was down ~0.6%. 10 Year US Treasury Yields were ~2bps firmer. Iron Ore was up ~1.5% , at $125.65/tonne. Copper also rallied, up ~0.3% yesterday.
- A break of $0.7063, high from Jan 18, will confirm a resumption of recent bullish activity. Bears look to break the 20-day EMA at $0.6863 to signal scope for a deeper pullback.
- A thin data calendar in Asia-Pac leaves wider swings in risk sentiment as the main driver in AUD today.
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