AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD declined 0.2% against the USD and closed at 0.7582.
LME Copper prices rose 1.8% or $104.0/MT to $5879.0/MT. Aluminium prices traded flat and closed at $1870.0/MT.
In the Asian session, at GMT0400, the pair is trading at 0.7544, with the AUD trading 0.5% lower against the USD from yesterday’s close, after early morning data revealed that Australia’s inflation rose at a slower-than-expected pace in the fourth quarter.
Data indicated that Australia’s consumer price index (CPI) rose 0.5% on a quarterly basis in 4Q 2016, thus providing some room to the Reserve Bank of Australia to keep interest rates lower for a longer period. Market expectation was for the CPI to rise 0.7%, following a gain of 0.7% in the prior quarter. Meanwhile, the nation’s Westpac leading index advanced 0.44% on a monthly basis in December. In the prior month, the Westpac leading index had recorded a revised rise of 0.03%.
The pair is expected to find support at 0.7515, and a fall through could take it to the next support level of 0.7485. The pair is expected to find its first resistance at 0.7589, and a rise through could take it to the next resistance level of 0.7633.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
