Free Trial
USDJPY TECHS

Remains Below Resistance

US

FED Reverse Repo Operation

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access
AUD

A strong labour force report released out of Australia supported the local currency on Thursday, as employment growth comfortably beat expectations, driving the unemployment rate to new multi-decade lows. The data prompted participants to add hawkish RBA bets, with some revising their forecasts for the August rate review to 75bp.

  • While the Aussie remained one of the best G10 performers through the rest of the day, demand for the greenback drove AUD/USD into negative territory, as Fed hawks were circling. The NY session brought some reprieve, as Fed's Waller & Bullard backed a 75bp move at the next FOMC meeting, with AUD/USD finishing just 10 pips shy of neutral levels.
  • A softer commodity complex may have helped prevent the Aussie from holding the lead. Bloomberg Commodity Index dropped to a weekly low, with iron ore suffering severe losses amid reports of a growing number of Chinese home-buyers refusing to pay mortgages on unfinished properties.
  • The broader risk backdrop was also questionable, even as U.S. equity benchmarks trimmed losses, with the NASDAQ finishing virtually unchanged.
  • Spot AUD/USD trades flat at $0.6748. Bears look for losses past yesterday's low of $0.6682, before setting their sights on the 0.764 proj of the Apr 5 - May 12 - Jun 3 price swing at $0.6647. Bulls would be pleased by a rebound above Jun 28 high of $0.6964.
  • The RBA will publish the minutes from its July monetary policy meeting next Tuesday, with NAB Business Confidence coming up Thursday.
  • In the meantime, Chinese activity data are set to grab attention in Sydney hours today.

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.