AUDUSD Movement
For the 24 hours to 23:00 GMT, AUD strengthened 0.69% against the USD to close at 0.8999, after building permits in July rose above estimates, while manufacturing PMI in China, Australia’s largest trading partner, showed another month of expansion.
LME Copper prices rose 1.1% or $80.5/MT to $7175.5/MT. Aluminium prices declined 0.6% or $11.5/MT to $1764.0/MT.
In the Asian session, at GMT0300, the pair is trading at 0.8993, with the AUD trading marginally lower from yesterday’s close. Earlier today, an official report showed that, on a seasonally adjusted basis, retail sales in Australia grew 0.1%, lower than market expectation for a 0.4% rise and compared to a 0.0% growth registered in the previous month. Meanwhile, a government report from China, depicted that the nation’s non-manufacturing PMI came in at a reading of 53.9 in August, following a level of 54.1 seen in the previous month.
Meanwhile, the Reserve Bank of Australia (RBA) delivered no change in their monetary policy, as it kept the benchmark cash rate unchanged at the all-time low of 2.5%, in line with market expectations.
The pair is expected to find support at 0.8961, and a fall through could take it to the next support level of 0.8929. The pair is expected to find its first resistance at 0.9026, and a rise through could take it to the next resistance level of 0.9059.
The currency pair is showing convergence with its 20 Hr moving average and is trading above its 50 Hr moving average.
