AUD/USD pays a little heed to China’s data dump
- AUD/USD bounces off fresh multi-year low despite disappointment from China’s February month Retail Sales, Industrial Production.
- RBA signaled QE after the Fed surprised markets.
- Risk-tone remains under pressure amid the global central bankers’ fight against the coronavirus.
AUD/USD pays a little heed to China’s February month data dump as the quote stays unfazed around 0.6130 after numbers from the largest customer disappoint during early Monday.
China’s February month Retail Sales plunge 20.5% compared to 1.5% market expectations and 6.9% earlier readout whereas Industrial Production shrink 13.5% versus 0.8% forecast and 8.0% prior.
The pair earlier reacted to the market’s shock from the Fed’s surprise rate cut, the second in the month, which was preceded by the RBNZ’s rate cut and likely followed by the BOJ’s monetary policy easing.
Investors will now keep eyes on Thursday’s RBA moves as the Aussie central bank recently showed readiness to purchase government bonds and take further measures.
Though, risk reactions to the global policymakers’ fight against the pandemic as well as any new surprises from either the Fed or the RBA.
Technical Analysis
Buyers will look for entry only if the pair manages to stay strong beyond 0.6435, comprising February month low.
Author
Anil Panchal
FXStreet
Anil Panchal has nearly 15 years of experience in tracking financial markets. With a keen interest in macroeconomics, Anil aptly tracks global news/updates and stays well-informed about the global financial moves and their implications.
