AUD/USD was rebuffed on a probe of the 50dma just below 0.7500 on the latest salvo in the US-China trade war, explains Sean Callow, Research Analyst at Westpac.
“The Aussie’s sensitivity to this battle seems likely to help cap rallies multi-month, but in the week ahead, attention may wander, given that the public notice period on the $200bn runs through Aug.”
“Australia’s domestic calendar shouldn’t hurt AUD much, with underlying job creation decent even if there is a surprise next week. This week’s consumer and business sentiment surveys were encouraging.”
“Yet it is hard to avoid a downward bias for AUD/USD on the week, given the resilience of DXY and with our basket of Australia’s key commodity prices edging lower.”
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.