AUD/USD ignores Australia's housing, NAB data as traders await China inflation

  • AUD/USD extends losses for the second day despite recently positive Australian data.
  • Australia’s Q3 House Price Index and NAB Business Conditions came in better whereas NAB Business Confidence matched the downbeat forecast.
  • Trade headlines, China’s inflation data and RBA’s Bullock in the spotlight for now.

AUD/USD stays modestly changed to 0.6825 during the Asian session on Tuesday. The Aussie pair shows no major reaction to Australia’s housing and business data.

Australia’s House Price Index data for the third quarter (Q3) beat a 0.2% forecast to 2.4% on QoQ while also recovering to -3.7% from -7.4% prior on YoY. Further, National Australia Bank's (NAB) Business Confidence matched the consensus figure of 0 while the NAB’s Business Conditions rose past-2 forecast to 4. Even so, the Aussie pair showed no major response as traders await inflation data from the key customer China.

Read: Australia data dump: Aussie holds steady despite positive data

Recently released second-tier sentiment data for Australia, ANZ-Roy Morgan Consumer Confidence, came in better than 108.10 to 109.00 for the last week. Also, the comments from the Reserve Bank of Australia (RBA) Governor Philip Lowe, from the AusPayNet Summit in Sydney, showed the central banker’s confidence in the consumer spending and bank’s forecast about the Gross Domestic Product (GDP).

Be it the USMCA (United States–Mexico–Canada Agreement) or phase-one, trade headlines have been mixed off-late. While the Trump administration diplomats will fly to Mexico for the final deal, the US-China still struggles to strike the right chord ahead of December 15 deadline of the US tariffs on Chinese goods. Some in the US, including Agriculture Secretary Sonny Perdue, turned down the fear of tariffs but China’s Global Times portrays the risk on cards.

Moving on, China’s headlines inflation data for November, namely the Consumer Price Index (CPI) and Producer Price Index (PPI) will be in focus for now. Following that, comments from the RBA’s Deputy Governor Michele Bullock will gain market attention. Meanwhile, trade/political headlines can keep entertaining the markets.

About the China data, TD Securities said, “China CPI rose to 3.8% y/y in October, its highest reading this year, due predominantly to a 101.3% y/y increase in pork prices. In contrast, ex-food CPI matched its lowest since October 15, suggesting that underlying price pressures remain benign. While the impact of African Swine Disease is likely to continue to exert upward pressure on headline CPI, this is likely to fade in the months ahead. Even so, we estimate that CPI rose further in November, to 4.4% y/y.”

Technical Analysis

100-day Simple Moving Average (SMA), around 0.6810 now, acts as immediate key support ahead of November lows near 0.6755. On the contrary,  buyers will look for entry beyond the monthly top near 0.6865 to target 200-day SMA around 0.6915.

additional important levels

Today last price 0.6824
Today Daily Change -7 pips
Today Daily Change % -0.10%
Today daily open 0.6831
Daily SMA20 0.681
Daily SMA50 0.6814
Daily SMA100 0.681
Daily SMA200 0.6914
Previous Daily High 0.6839
Previous Daily Low 0.6819
Previous Weekly High 0.6863
Previous Weekly Low 0.6762
Previous Monthly High 0.6929
Previous Monthly Low 0.6754
Daily Fibonacci 38.2% 0.6827
Daily Fibonacci 61.8% 0.6832
Daily Pivot Point S1 0.682
Daily Pivot Point S2 0.681
Daily Pivot Point S3 0.6801
Daily Pivot Point R1 0.684
Daily Pivot Point R2 0.6849
Daily Pivot Point R3 0.6859



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

Editors’ Picks

GBP/USD surges toward 1.3150 amid upbeat UK data, USD weakness

GBP/USD has been extending its gains after the British CBI Trends figure beat expectations. Markets are pricing a BOE rate cut less aggressively. The US dollar is on the back foot across the board amid reduced coronavirus fears.


EUR/USD struggles to recover amid Trump's tariff threats

EUR/USD is trading below 1.11, close to the three-week lows, as President Trump continues threatening the EU with car tariffs. Markets remain concerned about the spreading coronavirus disease. 


BoC goes dovish, USD/CAD jumps above 1.31

In a widely expected decision, the Bank of Canada on Wednesday announced that it left its policy rate unchanged at 1.75% at its January policy meeting. In its policy statement, the BoC noted that it sees less risk of an extreme downside scenario related to trade tensions.

Read more

Gold Price Analysis: Intraday uptick falters near 50-hour SMA, remains vulnerable

Gold lacked any firm directional bias and seesawed between tepid gains/minor losses through the mid-European session on Wednesday.

Gold News

USD/JPY rises above 110.00, potential head-and-shoulders on 1H

Risk reset in stocks is boding well for USD/JPY.  The pair may be forming a head-and-shoulders pattern on the hourly chart. The bulls are not out of the woods yet and a break above 110.12 is needed to invalidate lower highs setup on the hourly chart.