AUD/USD edges lower toward 0.7600 as DXY rises above 93.00
- AUD/USD came under modest bearish pressure in early American session.
- US Dollar Index turned positive on the day above 93.00.
- Impressive jobs report from US provided a boost to T-bond yields.
The AUD/USD pair is pushing lower in the early trading hours of the American session with the USD gathering some strength on the back of rising US Treasury bond yields. As of writing, the pair was down 0.13% on a daily basis at 0.7606.
DXY rebounds above 93.00 after NFP
The US Bureau of Labor Statistics' monthly publication revealed on Friday that Nonfarm Payrolls (NFP) in the US rose by 916,000 in March, compared to analysts' estimate for an increase of 647,000. Furthermore, the Unemployment Rate declined to 6% from 6.2% in February as expected.
With the initial market reaction, the benchmark 10-year US Treasury bond yield climbed to a daily high of 1.704% and the US Dollar Index (DXY) advanced beyond 93.00. At the moment, the DXY is up 0.13% at 93.05.
There won't be any other macroeconomic data releases in the remainder of the day and the US bond market will close early due to the Easter holiday, suggesting that the trading action is likely to remain subdued in the upcoming hours.
On a weekly basis, AUD/USD remains on track to close with small losses for the second straight time.
Technical levels to watch for
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
