AUDUSD Movement
On Friday, the AUD weakened 0.28% against the USD to close at 0.8900.
LME Copper prices declined 1.6% or $115.5/MT to $ 7095.0/MT. Aluminium prices fell 1.3% or $22.5/MT to $ 1775.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.8966, with the AUD trading 0.74% higher from Friday’s close, after Chinese manufacturing sector showed signs of growth in August, while building approvals in Australia advanced above market expectations.
A government report confirmed that the NBS manufacturing PMI in China, Australia’s largest trading partner, rose to a reading of 51.0 during August, more than analysts’ expectation for a rise to 50.6 from a reading of 50.3 registered in the previous month. Additionally, China’s HSBC manufacturing PMI rose to a reading of 50.1 in August, slightly below market expectation for a rise to 50.2 and compared to a reading of 47.7 recorded in the earlier month. Also, Australia’s AiG performance of manufacturing index rose to a level of 46.4 in August, from a reading of 42.0 registered in the previous month. Another official report showed that building permits in the nation surged 10.8% (MoM) in July, surpassing analysts’ expectation for a rise to 4.1% and compared to a 6.3% decline seen in the earlier month.
The pair is expected to find support at 0.8913, and a fall through could take it to the next support level of 0.8860. The pair is expected to find its first resistance at 0.8997, and a rise through could take it to the next resistance level of 0.9028.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
