• AUD/USD rallies near 0.6600, continuing its upward trajectory on the back of a buoyant market mood.
  • Mixed US economic reports fuel speculation of a potential Fed policy shift despite recent hawkish remarks.
  • Upcoming economic, including RBA speeches and key US data, are set to offer fresh impetus to AUD/USD traders.

The AUD/USD bounces from a daily low of 0.6549 and climbs for the second straight day, printing a new three-month high at 0.6591 at the time of writing. An upbeat market sentiment and overall US Dollar weakness maintain the pair hovering below the 0.6600 figure.

Australian Dollar gains against US Dollar, nearing the 0.6600 mark amid mixed US economic data and market optimism

US economic data on Friday suggests that business activity, although expanded In the services and composite sectors, the manufacturing segment shrank in November after gathering pace and rising in October. S&P Global Services PMI rose by 50.8 while the Composite grew by 50.7, with both figures exceeding forecasts. On the other hand, S&P Global Manufacturing PMI stood at 49.4, below estimates and the prior reading.

Today’s economic data and those previously revealed during the week kept speculations that the US Federal Reserve (Fed) would ease monetary policy next year. Despite Fed officials’ comments last week, they suggested that further tightening is needed and would depend on data to take the appropriate measures to curb inflation.

The US 10-year benchmark note climbs six basis points (bps) and is up at 4.472%, though it failed to support the Greenback. Contrarily, the US Dollar Index (DXY) is falling 0.38%, at 103.36.

On the Australian front, news that China continues stimulating the property market has improved investors' mood, as shown by Asian, European, and North American equity markets. That is alongside hawkish comments by the Reserve Bank of Australia (RBA) Governor Michele Bullock, who said “A more substantial monetary policy tightening is the right response to inflation that results from aggregate demand exceeding the economy’s potential to meet that demand.”

Next week, the Australian economic calendar will feature RBA Bullock's speech, retail sales, and the release of inflation figures. On the US front, housing data, consumer confidence, GDP, Fed’s preferred inflation gauge, and ISM Manufacturing PMI.

 AUD/USD Technical Levels

AUD/USD

Overview
Today last price 0.659
Today Daily Change 0.0031
Today Daily Change % 0.47
Today daily open 0.6559
 
Trends
Daily SMA20 0.6452
Daily SMA50 0.6406
Daily SMA100 0.6484
Daily SMA200 0.6587
 
Levels
Previous Daily High 0.6575
Previous Daily Low 0.654
Previous Weekly High 0.6542
Previous Weekly Low 0.6352
Previous Monthly High 0.6445
Previous Monthly Low 0.627
Daily Fibonacci 38.2% 0.6561
Daily Fibonacci 61.8% 0.6553
Daily Pivot Point S1 0.6541
Daily Pivot Point S2 0.6523
Daily Pivot Point S3 0.6506
Daily Pivot Point R1 0.6576
Daily Pivot Point R2 0.6593
Daily Pivot Point R3 0.6611

 

 

Share: Feed news

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.

If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.

FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.

The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.

Recommended content


Recommended content

Editors’ Picks

AUD/USD holds steady near 0.6250 ahead of RBA Minutes

AUD/USD holds steady near 0.6250 ahead of RBA Minutes

The AUD/USD pair trades on a flat note around 0.6250 during the early Asian session on Monday. Traders brace for the Reserve Bank of Australia Minutes released on Tuesday for some insight into the interest rate outlook.

AUD/USD News
USD/JPY consolidates around 156.50 area; bullish bias remains

USD/JPY consolidates around 156.50 area; bullish bias remains

USD/JPY holds steady around the mid-156.00s at the start of a new week and for now, seems to have stalled a modest pullback from the 158.00 neighborhood, or over a five-month top touched on Friday. Doubts over when the BoJ could hike rates again and a positive risk tone undermine the safe-haven JPY. 

USD/JPY News
Gold price bulls seem non-committed around $2,620 amid mixed cues

Gold price bulls seem non-committed around $2,620 amid mixed cues

Gold price struggles to capitalize on last week's goodish bounce from a one-month low and oscillates in a range during the Asian session on Monday. Geopolitical risks and trade war fears support the safe-haven XAU/USD. Meanwhile, the Fed's hawkish shift acts as a tailwind for the elevated US bond yields and a bullish USD, capping the non-yielding yellow metal.

Gold News
Week ahead: No festive cheer for the markets after hawkish Fed

Week ahead: No festive cheer for the markets after hawkish Fed

US and Japanese data in focus as markets wind down for Christmas. Gold and stocks bruised by Fed, but can the US dollar extend its gains? Risk of volatility amid thin trading and Treasury auctions.

Read more
Bank of England stays on hold, but a dovish front is building

Bank of England stays on hold, but a dovish front is building

Bank of England rates were maintained at 4.75% today, in line with expectations. However, the 6-3 vote split sent a moderately dovish signal to markets, prompting some dovish repricing and a weaker pound. We remain more dovish than market pricing for 2025.

Read more
Best Forex Brokers with Low Spreads

Best Forex Brokers with Low Spreads

VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.

Read More

Forex MAJORS

Cryptocurrencies

Signatures