Free Trial
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.
AUD
AUD/USD was bettered by only NZD in the G10 FX space, finishing 0.70% higher for Thursday's session. We couldn't breach the 0.6380 level, while supported was evident on pull backs to 0.6325/30. The pair tracks near 0.6370 in early Friday dealing.
- The technical set up is still seen as negative. Weakness this week signals scope for a deeper correction, with 0.6215 targeted on the downside (a Fibonacci projection). On the upside, key trend resistance is at 0.6522, the Aug 30 and Sep 1 high. Initial resistance is at 0.6402, the 20-day EMA.
- The steeper US yield curve, amid generally dovish Fed speak, weighed on broader USD sentiment. US equities finished marginally weaker.
- Commodity indices were mixed, the Bloomberg aggregate index around flat, despite another fall in oil prices. The metals index though eased a further 0.80%, its fourth straight decline, which may have capped AUD upside to a degree. The chart below overlays this index against spot AUD/USD.
- The main focus today will be the RBA Financial Stability Review.
Fig 1: AUD/USD Versus Bloomberg Metals Index
Source: MNI - Market News/Bloomberg
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.
We are facing technical issues, please contact our team.
ok
Your request was sent sucessfully! Our team will contact you soon.
ok