AUD/USD extends slide to mid-0.7600s as USD starts new week on strong footing
|- AUD/USD is falling for the fourth straight trading day.
- US Dollar Index touched its highest level since late November.
- Rising US Treasury bond yields continue to support the greenback.
The AUD/USD pair closed the last three days of the previous week deep in the negative territory and extended its slide on Monday. After touching a session low of 0.7637, the pair recovered modestly and was last seen trading at 0.7663, where it was down 0.3% on the day.
DXY continues to push higher
The broad-based USD strength remains the primary market theme at the start of the week. Supported by a more-than-2% increase in the 10-year US Treasury bond yield, the US Dollar Index (DXY) touched its highest level since late November at 92.30 on Monday. Currently, the DXY is up 0.25% on the day at 92.20.
Earlier in the day, the trade report from China revealed that Exports in February surged by 60.6% on a yearly basis, compared to analysts' estimate for an increase of 38.9%, but this data failed to provide a boost to China-proxy AUD.
There won't be any significant macroeconomic data releases from the US in the remainder of the day and investors will keep a close eye on T-bond yields. Meanwhile, the S&P 500 Futures are down 0.55% on the day, suggesting that the USD is likely to preserve its strength in the second half of the day.
On Tuesday, the National Australia Bank's Business Confidence and Business Conditions data will be watched closely by market participants.
Technical levels to watch for
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