AUD/USD flirting with 2-week lows, just above mid-0.6900s
|- The USD stands tall near multi-week tops amid tempered Fed rate cut bets.
- RBA Governor Lowe’s dovish remarks added to the recent selling pressure.
- Traders now eye US durable goods orders data for some short-term impetus.
The AUD/USD pair traded with a bearish bias for the fifth consecutive session on Thursday and dropped to two-week lows, around the 0.6965 regions in the last hour.
The pair added to its recent losses and retreated farther from near three-month tops set last Friday following the RBA Governor Philip Lowe's dovish comments, showing readiness to ease further if future demand growth disappointed.
During a scheduled speech Sydney this Thursday, Lowe said that it was reasonable to expect an extended period of low-interest rates and sent yields on 10-year government bonds to a record low, which negatively affected the Aussie.
On the other hand, the US Dollar stood tall near multi-week highs, amid tempered expectations for a 50 bps rate cut by the Fed at its upcoming meeting on July 30-31, and further collaborated to the pair's ongoing bearish slide.
The China-proxy Australian Dollar failed to gain any respite from a positive trade-related development, wherein a White House statement confirmed that top US negotiators will meet their Chinese counterparts starting July 30.
It would now be interesting to see if the pair is able to attract any buying interest at lower levels or the current pullback marks the resumption of the prior bearish trend, paving the way for a further near-term depreciating move.
Moving ahead, Thursday's US economic docket - highlighting the release of durable goods orders data for June, will assist traders to grab some short-term trading opportunities later during the early North-American session.
Technical levels to watch
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