Partial Reversal Of A$ Weakness, Jobs Data Coming Up

Aussie was one of the better performers in the G10 on Wednesday as it consolidated after its recent weakness. AUDUSD was not impacted by further equity weakness and rose 0.5% and is currently around 0.6436, close to the intraday high of 0.6446. The USD index fell 0.4%.

• Despite yesterday’s partial reversal, AUDUSD remains vulnerable. The pair cleared key support at 0.6443, which was an important technical breach. It is now sitting just above this level. Initial support is at 0.6389 and resistance at 0.6481.
• Aussie is 0.3% higher versus the yen at 99.31 but down off the high 99.53. AUDNZD fell 0.1% to 1.0875 but off the intraday low of 1.0861. AUDGBP rose 0.3% to 0.5167 but AUDEUR was flat at 0.6030.
• Equities were generally weaker with the S&P down 0.6% and the euro stoxx -0.1% but the FTSE rose 0.4%. Oil prices fell sharply with Brent down 3% to $87.29. Copper is up 0.9% and iron ore higher at around $116/t.
• Today March jobs data print and are forecast to show a small rise of 10k after February’s outsized 116.5k gain. The unemployment rate is forecast to rise 0.2pp to 3.9%. NAB’s Q1 business survey and the RBA bulletin are also out.