AUD/USD: Wavers below 0.7300 as covid worries combat vaccine news, stimulus hopes
|- AUD/USD pokes upper-end of the recent range between 0.7260 and 0.7280.
- Market sentiment stays mixed as a rise in US cases, hospitalizations probe expectations of virus vaccine, more stimulus.
- Wall Street, gold fail to mark a major move amid the US holiday.
- Aussie Consumer Inflation Expectations, US inflation, jobless claims can entertain traders.
AUD/USD rises to 0.7284 amid the initial hour of Thursday’s Asian trading. Even so, the pair maintains the recent 20-pips trading range as traders struggle to digest mixed clues concerning the coronavirus (COVID-19) and global monetary policy actions.
US becomes next Europe…
With the record hospitalization and uncontrolled infection in nearly all states, not to forget about more than 100K cases, America is inching closer to dethrone Brussels for taking the lead in the virus spread, as it did in the first round. Though, hopes that vaccines are nearby keep the global markets relatively less worried.
Elsewhere, the RBNZ joined the league of BOE and the RBA to mark its hesitation in welcoming the negative rates. With this, it can be known that the global central banks are ready to stay behind the curve in expectations of a recovery. Further, Donald Trump is losing hope to keep the White House day-by-day. The latest updates suggest President-elect Joe Biden has a significant lead in the votes that defy any recount fears for the Democratic Party.
Against this backdrop, Wall Street trades mixed amid a lack of data while the US 10-year Treasury yields were stopped in their run-up to 1.0% amid Veterans Day Holiday.
Unlike Wednesday, Thursday’s trading will be relatively active. The reason could be traced to Australia’s Consumer Inflation Expectations for November, forecast 3.2% versus 3.4% prior, that can play its role in Asia whereas the US Consumer Price Index (CPI) and Weekly Jobless Claims will do the same in the US session. Amid all these, the risk catalysts will be even more important and shouldn’t be ignored.
Technical analysis
A lack of momentum inside the 100-pips area between 0.7245 and 0.7345 persists. With repeated failures to cross August-end low and highs marked afterward, around 0.7340/45, AUD/USD bears eye a break of October high near 0.7245 for fresh entries.
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.