AUD/USD Rises Forward of RBA Minutes, Lowe Speech

Australian Greenback, AUD/USD, RBA Minutes, Client Confidence – Speaking Factors

  • Australian Dollar rises in a single day regardless of a transfer decrease throughout Wall Street equities
  • RBA assembly minutes in focus in opposition to a relatively sparse financial calendar for immediately
  • AUD/USD briefly breaks above the 50-day SMA, will bulls try to clear it?

Tuesday’s Asia-Pacific Forecast

The risk-sensitive Australian Greenback gained in a single day in opposition to the US Dollar regardless of a weak in a single day efficiency on Wall Avenue. Small-cap shares got here beneath strain, with the Russell 2000 index shedding 0.45% on the shut. An increase in yields was a possible contributor to the downbeat efficiency, with promoting throughout the federal government bond market. That noticed the 10-year Treasury observe’s yield rose above 1.6%, the best this month.

Upbeat financial information out of China has been a latest shiny spot within the international financial story this week. China’s industrial manufacturing and retail gross sales for October crossed the wires on Monday and beat analysts’ expectations whereas additionally bettering from the prior month. The rosy prints had been a lot wanted as China faces a possible slowdown.

Crude oil moved barely greater in a single day after an intraday drop under the high-profile 80 deal with was shortly purchased up. Oil has confronted strain in latest weeks as optimism over the worldwide financial restoration wanes. Oil is seen as one of many most important inflationary drivers in international markets. That has introduced political strain on OPEC leaders – notably from the USA.

At present’s financial calendar is relatively sparse, with solely the Reserve Financial institution of Australia’s newest assembly minutes set to cross the wires. RBA Governor Lowe may even communicate, which can spur some motion within the Australian Greenback. That is the final spherical of minutes earlier than subsequent month’s assembly, which would be the final of the yr. Inflation would be the key focus of Mr. Lowe’s feedback immediately. The ANZ Roy Morgan client confidence index fell to 106.Zero for the week ending November 14, down from 109.

AUD/USD Technical Forecast

AUD/USD rose in a single day earlier than pulling again after contact the 50-day Easy Shifting Common. The upside comes after the formation of a Bullish Engulfing candlestick on the day by day chart. Bulls might look to clear the important thing transferring common, which might possible open additional upside. Alternatively, a drop decrease will see costs transfer again to the latest month-to-month low at 0.7276.

AUD/USD Every day Chart


Chart created with TradingView

— Written by Thomas Westwater, Analyst for DailyFX.com

To contact Thomas, use the feedback part under or @FxWestwater on Twitter

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