AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD rose 0.29% against the USD and closed at 0.6866.
LME Copper prices declined 0.3% or $16.5/MT to $5771.0/MT. Aluminium prices rose 0.4% or $7.5/MT to $1769.0/MT.
In the Asian session, at GMT0300, the pair is trading at 0.6853, with the AUD trading 0.19% lower against the USD from yesterday’s close.
Overnight data showed that Australia’s NAB business confidence index slid to a level of 1.0 in August, compared to a level of 4.0 in the previous month. Moreover, the nation’s business conditions index dropped to a level of 1.0 in August, following a revised reading of 3.0 in the prior month.
Elsewhere in China, Australia’s largest trading partner, the consumer price index (CPI) advanced 2.8% on a yearly basis in August, compared to a similar rise in the previous month. Markets had expected the CPI to record a gain of 2.6%. Meanwhile, the nation’s producer price index (PPI) eased 0.8% on an annual basis in August, less than market consensus for a fall of 0.9%. In the preceding month, the PPI had registered a fall of 0.3%.
The pair is expected to find support at 0.6839, and a fall through could take it to the next support level of 0.6826. The pair is expected to find its first resistance at 0.6871, and a rise through could take it to the next resistance level of 0.6890.
Going forward, investors would keep an eye on Australia’s Westpac consumer confidence index for September, set to release overnight.
The currency pair is trading below its 20 Hr moving average and showing convergence with its 50 Hr moving average.
