AUD/USD fuelled 0.2% by strong PMI Composite in early Asia,

  • AUD is up on the day so far as early data gives the bulls a head start.
  • PMI Composite index pops to 53.6 from 51.1 last month on strong Services number.

AUD/USD is currently trading at 0.7131 between a range of 0.7112 and 0.7139 and up some 0.2% on the day so far.

Early Asia has been kind to Aussie bulls with the price of the currency extending its late New York gains with a robust Construction PMI report, solidly above the 50.0 expansion level, arriving at 54.2.

Services PMI arrived at 53.8 vs. 50.8 last month taking the Composite index to 53.6 from 51.1 last month.

However, markers are expecting a lot more easing to come from the reserve Bank of Australia. 

Analysts at ANZ Bank noted, however, that, overall, activity is up marginally around Australia.

''Though as Victoria has eased some restrictions and more are likely to end in early November, we expect the next month or so will see quite a lift. We have already seen this in regional Victoria with lifts in activity there flowing through to the data.''

Meanwhile, monetary policy remained centre stage this week and the minutes of the October RBA Board meeting confirmed support amongst members for additional easing at the November meeting.

Last week’s speech by Governor Lowe also communicated the scope for easing the RBA has and the intent behind it.

The PMIs were refreshing, but other data that became available this week highlighted the uncertainty over the outlook, particularly with respect to consumer demand, as analysts at Westpac explained.

''Retail sales fell 1.5% in September according to the ABS’ preliminary estimate. This outcome was weaker than the market anticipated, and also softer than our Card Tracker implied.'' 

''Significantly, the ABS reported that all states saw a decline in sales in September. The final report for the month will provide greater detail on the value of sales as well as volume estimates.''

Overall, the analysts anticipate real household consumption will claw back about a third of Q2’s decline in Q3.  

Aussie CPI on the horizon

Looking ahead, Quarter 3 CPI for Australia in slated for next week which will be important. 

''We expect a 1.1% rebound in headline inflation but a flat outcome for the trimmed mean core measure. These forecasts, if realised, would see the headline and trimmed mean annual rates at 0.3%year and 0.8%year respectively, highlighting the degree of slack in our economy and the need for additional support from the RBA as above,'' the analysts at Westpac explained.   

US Election Debate

For the day ahead, the focus is not on the final US Election Debate. 

The president is trailing in the polls and his debate with former VP Biden is a chance to shake up the race and rock markets.

Our experts, Joseph Trevisani and Yohay Elam, will analyze the market reaction to the last presidential debate at 00:45 GMT. Stay updated here!

AUD/USD levels


Today last price 0.7134
Today Daily Change 0.0017
Today Daily Change % 0.24
Today daily open 0.7117
Daily SMA20 0.7128
Daily SMA50 0.72
Daily SMA100 0.7103
Daily SMA200 0.6792
Previous Daily High 0.7137
Previous Daily Low 0.7046
Previous Weekly High 0.7242
Previous Weekly Low 0.7055
Previous Monthly High 0.7414
Previous Monthly Low 0.7004
Daily Fibonacci 38.2% 0.7102
Daily Fibonacci 61.8% 0.7081
Daily Pivot Point S1 0.7063
Daily Pivot Point S2 0.7009
Daily Pivot Point S3 0.6972
Daily Pivot Point R1 0.7154
Daily Pivot Point R2 0.7191
Daily Pivot Point R3 0.7245



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.

Feed news

Latest Forex News

Latest Forex News

Editors’ Picks

AUD/USD sits at two-month highs near 0.7375

AUD/USD keeps its range near two-month highs of 0.7375 despite a big miss on the Australian Q3 Capex data. The bulls retain control as the US dollar remains on the back foot across the board, in the face of renewed US economic growth concerns. 


USD/JPY revisits Wednesday's low as weak US data keeps dollar under pressure

USD/JPY drops over 20 pips in Asia to test Wednesday's low. USD/JPY is feeling the pull of gravity with the dollar drawing offers, possibly on disappointing US data released Wednesday. Disappointing US jobs data and dovish Fed minutes weigh over the dollar.


Gold hovers within the range of Wednesday's Doji candle

Gold's daily chart shows signs of indecision in the market. Wed's high and low are levels to beat for bulls and bears, respectively. A Doji candle represents indecision in the market and makes the following day's close pivotal.

Gold news

Markets return to normal, and traders may be loving it

Calendar comeback – currencies begin moving to the tune of economic indicators, a welcome return for traders. Valeria Bednarik, Joseph Trevisani, and Yohay Elam discuss the latest market moves and what to expect in the final stretch of 2020 and beyond.

Read more

Black Friday 2020 Discounts!

Learn to trade with the best! Don't miss the most experienced traders and speakers in FXStreet Premium webinars. Also if you are a Premium member you can get real-time FXS Signals and receive daily market analysis with the best forex insights!

More info