AUDUSD Movement
For the 24 hours to 23:00 GMT, AUD strengthened 0.32% against the USD to close at 1.0293.
LME Copper prices declined 2.0% or $162.0/MT to $7847.5/MT. Aluminium prices declined 0.9% or $18.5/MT to $2047.0/MT.
In the Asian session, at GMT0400, the pair is trading at 1.0314, with the AUD trading 0.20% higher from yesterday’s close, after the Reserve Bank of Australia Governor, Glenn Stevens indicated that the central bank is comfortable with Australian interest rates as they currently stand, signalling a break in its aggressive yearlong rate-cutting cycle.
Earlier, Australian Treasurer, Wayne Swan stated that he believes the strong Australian Dollar would not deter foreign investors because of the country’s strong underlying economic fundamentals. He further stated that foreign investors are attracted to Australia because of solid government, sound public finances and a tolerable debt level.
The pair is expected to find support at 1.0248, and a fall through could take it to the next support level of 1.0182. The pair is expected to find its first resistance at 1.0353, and a rise through could take it to the next resistance level of 1.0392.
With no major domestic data scheduled for release ahead in the day, the AUD is expected to closely track economic data from the Euro-zone for clarity on risk appetite among market participants.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
