- AUD/USD registers four-day winning streak.
- Downbeat China’s Industrial Profits mostly ignored amid hopes of early lockdown exit in Australia.
- Markets will keep eyes on the virus updates, US data for fresh impulse.
AUD/USD takes the bids to 0.6435 amid the Asian session on Monday. The pair recently seems to have ignored China’s downbeat Industrial Profit figures while cheering upbeat sentiment concerning the ease of lockdown in Australia.
China’s Industrial Profits (YoY) slumps 34.9% versus +5.40% prior during the March month.
Earlier during the day, Financial Review came out with the news suggesting that the Aussie PM Scott Morrison wants faster reopening as he has shelved talk of a six-month economic "hibernation". The news followed informal social media updates suggesting increased support for easing lockdown in Queensland and Western Australia.
On the other hand, the US coronavirus task force briefings had been canceled for Saturday and Sunday. US President Donald Trump was last criticized for suggesting disinfection materials to be used for the trials.
Further, the US death toll increases 2,020 to 52,459 as of 4:00 PM April 26 while the cases surged to 928,619 as of 4:00 PM April 26 against 895,766 at 4:00 PM onn April 25, per the data from the Centers for Disease Control and Prevention (CDC).
That said, the US 10-year Treasury yields gain nearly two basis points (bps) to 0.615% while stocks in Asia-Pacific mark mild gains by the press time.
Given the lack of major catalysts in Asia, markets will keep eyes on the virus updates ahead of the US session. The Dallas Fed Manufacturing Business Index for April, prior -70, seems to decorate today’s US economic calendar. It should be noted that Wednesday’s Aussie CPI and Thursday’s Chinese official PMI data, coupled with the US statistics, will be the key catalysts for the AUD/USD pair during the week.
Technical analysis
The monthly top near 0.6435 keeps the pair away from the bulls who target early-March high around 0.6540. On the other hand, multiple stops around 0.6250/45 seem to restrict the Aussie pair’s near-term downside, ahead of March-end top surrounding 0.6215/10.
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