AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD strengthened 0.24% against the USD to close at 0.8716.
LME Copper prices declined 0.96% or $64.5/MT to $6752.5/MT. Aluminium prices rose 2.18% or $44.0/MT to $2062.0/MT.
In the Asian session, at GMT0400, the pair is trading at 0.8697, with the AUD trading 0.22% lower from yesterday’s close, after the RBA Assistant Governor, Christopher Kent, stated that an “over-valued” Aussie, diminishing mining investment along with fiscal tightening would weigh on the economic growth of the nation and hence the growth in Australia would remain below trend before picking up in 2016.
Early morning data indicated that, consumer price inflation expectation in Australia recorded a rise to 4.1% in October, following a reading of 3.4% in the prior month.
Elsewhere, in China, Australia’s biggest trading partner, retail sales rose 11.5% on an annual basis in October, lower than market rise of 11.6% and compared to a similar gain recorded in the previous month. Additionally, annual industrial production in the nation unexpectedly dropped 7.7%, lower than market expectations for an increase of 8.0%.
The pair is expected to find support at 0.8659, and a fall through could take it to the next support level of 0.8621. The pair is expected to find its first resistance at 0.8741, and a rise through could take it to the next resistance level of 0.8785.
Trading trends in the pair today are expected to be determined by the US economic data.
The currency pair is trading just below its 20 Hr and 50 Hr moving averages.
