- AUD/USD fades a bounce to 0.7735, as USD bulls fight back control.
- The US dollar resumes Yellen-induced upside, as S&P 500 futures pare gains.
- US ADP jobs and Services PMI to offer fresh cues ahead of Friday’s NFP.
AUD/USD is turning south once again in the European morning, as the US dollar has jumped back on the bids amid a mild risk-aversion wave sweeping through.
After a brief pullback in the US dollar earlier in the Asian session, the bulls have regained control, as the S&P 500 futures pare gains, suggesting that the risk-on sentiment could be waning.
Markets remain concerned about growing covid worries in Asia, especially after a new local case of coronavirus was found in Sydney.
The Asian rebound in the aussie from Tuesday’s low of 0.7676 was mainly driven by a broad dollar retreat. Upbeat Australian April Markit Final Services PMI and Building Approvals data also backed the recovery in the spot to near the 0.7735 region.
However, US Treasury Secretary Janet Yellen’s comments-induced uptrend in the greenback seems to have resumed ahead of the key ADP jobs and ISM Services PMI data.
Yellen said that "It may be that interest rates will have to rise somewhat to make sure that our economy doesn't overheat, even though the additional spending is relatively small relative to the size of the economy.”
AUD/USD technical levels
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
Editors’ Picks
EUR/USD rises toward 1.0800 as USD weakens
EUR/USD has gained traction and advanced toward 1.0800 in the early American session on Monday. The positive opening witnessed in Wall Street makes it difficult for the US Dollar to find demand and helps the pair continue to push higher.
GBP/USD closes in on 1.2300 as mood improves
GBP/USD has preserved its bullish momentum and advanced to the 1.2300 area in the second half of the day on Monday. The risk positive market atmosphere makes it difficult for the US Dollar to stay resilient against its rivals and fuels the pair's daily rally. Eyes on BOE Governor Bailey's speech.
Gold extends slide below $1,950 as US yields rebound
Gold price has extended its daily slide and dropped below $1,950 in the early American session. Amid easing fears over a global banking crisis, the benchmark 10-year US Treasury bond yield rebounded above 3.5% on Monday, weighing heavily on XAU/USD.
Four reasons why SUSHI holders will have a bullish week despite SEC's move
SushiSwap price undid the early March gains in the last week after the SEC subpoenaed the platform’s head chef Jared Grey. As a result of this announcement, the token collapsed by roughly 18%.
Alibaba (BABA) edges higher after Jack Ma returns to China for AI talk
BABA shareholders begin the week with a glimmer of hope after founder Jack Ma was seen visiting China after spending more than one year abroad. The report originally led to Alibaba's shares in Hong Kong rising 4% before subsiding.