AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD declined 0.07% against the USD and closed at 0.6867.
LME Copper prices rose 0.1% or $7.0/MT to $5877.0/MT. Aluminium prices rose 0.1% or $2.5/MT to $1770.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.6844, with the AUD trading 0.33% lower against the USD from yesterday’s close.
Overnight data showed that Australia’s house price index dropped 0.7% on a quarterly basis in 2Q19, less than market expectations for a fall of 1.0%. In the previous quarter, the index had declined 3.0%.
The Reserve Bank of Australia (RBA), in its September monetary policy meeting, indicated that the central bank would consider further interest rate cuts if needed to support economic growth and to achieve its 2.0% to 3.0% inflation target. Additionally, the RBA pledged to assess global and local developments including the state of the country’s labour market before cutting interest rates. Meanwhile, officials expressed concerns over escalating US-China trade war, which poses risks to global growth.
The pair is expected to find support at 0.6829, and a fall through could take it to the next support level of 0.6813. The pair is expected to find its first resistance at 0.6872, and a rise through could take it to the next resistance level of 0.6899.
Looking ahead, investors would keep an eye on Australia’s Westpac leading index for August, slated to release overnight.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
