AUDUSD Movement
For the 24 hours to 23:00 GMT, the AUD weakened 0.82% against the USD to close at 0.7902.
LME Copper prices rose 0.57% or $36.5/MT to $6437.0/MT. Aluminium prices declined 2.35% or $45.0/MT to $1870.5/MT.
In the Asian session, at GMT0300, the pair is trading at 0.7878, with the AUD trading 0.3% lower from yesterday’s close.
Earlier today, the RBA, in its quarterly statement on Monetary Policy, downgraded its GDP forecasts for the Australian economy to 2-3% in the year ending December 2015, a half-percent downward revision from its previous forecast and indicated growth was picking up to between 2.5-3.5% in the June 2016 year. Additionally, the central bank offered no clear signal about future interest rate cuts amid concerns about slowing Chinese growth and weak business investment in Australia.
Elsewhere, in China, Australia’s biggest trading partner, trade surplus widened less-than-expected to $34.13 billion in April, compared to previous month’s level of $3.08 billion.
The pair is expected to find support at 0.7825, and a fall through could take it to the next support level of 0.7772. The pair is expected to find its first resistance at 0.7969, and a rise through could take it to the next resistance level of 0.8060.
The currency pair is trading below its 20 Hr and 50 Hr moving averages.
