OctaFX | OctaFX Forex Broker
Open trading account

AUD/USD reverses a knee-jerk rally post-jobs, back below 0.73

FXStreet (Mumbai) - The Aussie reverses a knee-jerk rally on stellar Australian jobs data and now trims gains to now trade below 0.73 handle.

AUD/USD boosted on upbeat Aus jobs

Currently, the AUD/USD pair trades 0.83% higher at 0.7290, easing-off fresh three-day highs to 0.7346. The Aussie pair finally ended its downside consolidation and witnessed a sharply reversal beyond 0.73 handle in early Asia, after the Australian employment data unexpectedly came in stronger for Nov.

The economy added a net 71,400 jobs in November, driving the jobless rate down from 5.9% in October to 5.8% last month, beating expectations of a rise to 6% in Nov. While the weakness in oil prices also added to the negative sentiment on the index.

However, the Aussie quickly faded the spike and slipped back below 0.73 barrier as the negative sentiment on the Asian equities weighed on the higher yielding currencies such as the AUD.

Markets will continue to digest the upbeat Aus employment data and await a set of US economic news for further momentum on the pair.

AUD/USD Levels to watch

The pair trades below 0.73 handle with the immediate resistance seen at 0.7335 (daily high) above which gains could be extended to the next hurdle located at 0.7388 (Dec 4 High). While the immediate support is seen at 0.7268 (5-DMA). Selling pressure is likely to intensify below the last, dragging the Aussie to 0.7248 (20-DMA).

Germany: Exports drop in October - ING

Carsten Brzeski, Chief Economist at ING, notes that German exports dropped in October but the weak euro helps in dampening the impact from lower global demand on the German economy.
Read more Previous

Fed hikes typically hurt fund flows – Goldman Sachs

Research Team at Goldman Sachs, maintains the view that a normalization of policy that is primarily growth driven poses little risk to credit spreads, but history suggests fund flows do not fare well during hiking cycles.
Read more Next
Start livechat