AUD/USD: Australia’s Westpac consumer confidence dropped in June


AUDUSD Movement

For the 24 hours to 23:00 GMT, the AUD traded flat against the USD and closed at 0.6961.

LME Copper prices rose 2.0% or $117.0/MT to $5905.0/MT. Aluminium prices rose 2.0% or $34.0/MT to $1754.5/MT.

In the Asian session, at GMT0300, the pair is trading at 0.6952, with the AUD trading 0.13% lower against the USD from yesterday’s close.

Overnight data showed that Australia’s Westpac consumer confidence index fell 0.6% on monthly basis to a level of 100.7 in June, compared to a reading of 101.3 in the prior month.

Elsewhere in China, Australia’s largest trading partner, the consumer price index (CPI) rose 2.7% on a yearly basis in May, at par with market expectations, following an increase of 2.5% in the prior month. Moreover, the nation’s producer price index (PPI) climbed 0.6% on a yearly basis in May, in line with market forecast. In the previous month, the PPI had registered a rise of 0.9%.

The pair is expected to find support at 0.6944, and a fall through could take it to the next support level of 0.6936. The pair is expected to find its first resistance at 0.6963, and a rise through could take it to the next resistance level of 0.6974.

Moving forward, traders would await Australia’s consumer inflation expectations for June and unemployment rate for May, scheduled to release overnight.

The currency pair is trading below its 20 Hr and 50 Hr moving averages.

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