AUD/USD: Australia’s building approvals declined in August


AUDUSD Movement

For the 24 hours to 23:00 GMT, the AUD declined 0.51% against the USD and closed at 0.7188.

LME Copper prices rose 1.7% or $102.0/MT to $6274.0/MT. Aluminium prices rose 1.6% or $32.5/MT to $2080.0/MT.

In the Asian session, at GMT0300, the pair is trading at 0.7184, with the AUD trading 0.06% lower against the USD from yesterday’s close.

Overnight data indicated that Australia’s seasonally adjusted building approvals plunged 13.6% on an annual basis in August, dragged down by the decrease in apartments being approved. In the prior month, building approvals registered a revised fall of 5.4%, while market participants had envisaged for a drop of 2.5%. Meanwhile, the AiG performance of services index rose to 52.5 in September, from 52.2 in the previous month.

The pair is expected to find support at 0.7151, and a fall through could take it to the next support level of 0.7119. The pair is expected to find its first resistance at 0.7227, and a rise through could take it to the next resistance level of 0.7271.

Looking ahead, investors would await Australia’s CBA services PMI and trade balance data for September, both slated to release overnight.

The currency pair is showing convergence with its 20 Hr moving average and trading below its 50 Hr moving average.

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