AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD rose 0.14% against the USD and closed at 0.7196.
LME Copper prices declined 0.6% or $41.5/MT to $6,433.5/MT. Aluminium prices fell 0.3% or $5.5/MT to $1,681.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.72, with the AUD trading 0.06% higher against the USD from yesterday’s close.
Overnight data showed that Australia’s producer price index unexpectedly fell 1.2% on a quarterly basis in 2Q 2020, confounding market expectations for a rise of 0.3% and compared to a rise of 0.2% in the previous month. Additionally, private sector credit demand unexpectedly eased 0.2% on a monthly basis in June, compared to a drop of 0.1% in the prior month.
Elsewhere in China, Australia’s largest trading partner, the non-manufacturing PMI dropped to 54.2 in July, less than market expectations for a drop to a level of 51.2 and compared to a reading of 54.4 in the prior month. Meanwhile, the NBS manufacturing PMI unexpectedly rose to 51.1 in July, defying market forecast for a drop to a level of 50.7 and compared to a reading of 50.9 in the prior month.
The pair is expected to find support at 0.7139, and a fall through could take it to the next support level of 0.7079. The pair is expected to find its first resistance at 0.7242, and a rise through could take it to the next resistance level of 0.7285.
The currency pair is trading above its 20 Hr and 50 Hr moving averages.
