AUD/USD rebounds from 0.6400 even Fed Powell delivers hawkish guidance

Source Fxstreet
Apr 17, 2024 13:18
  • AUD/USD recovers from 0.6400 amid improved market sentiment.
  • The Aussie Employment data will guide market expectations for RBA rate cuts.
  • It is forecasted that Australian employers hired mere 7.2K workers in March.

The AUD/USD pair finds a cushion near the round-level support of 0.6400 in Wednesday’s early American session. A three-day losing spell in the Aussie asset has concluded for now as investors expect that nations other than the United States are also facing stubborn inflation issues.

The Consumer Price Index (CPI) data for the United Kingdom and the New Zealand economies released in Wednesday’s session indicated that the last mile for inflation to return to the 2% target is bumpy. UK’s inflation softened slower than estimated in March while NZ inflation grew as expected in the first quarter of 2024.

This has forced traders to reprice their expectations for initial rate cuts. For the Bank of England (BoE) and the Reserve Bank of New Zealand (RBNZ), investors are now expecting that they will pivot to rate cuts from the November meeting instead of September.

Meanwhile, the market sentiment has improved. Considering bullish overnight futures, the S&P 500 is expected to open on a positive note. 10-year US Treasury yields fall slightly to 4.64% after refreshing a five-month high at 4.7%. The US Dollar Index (DXY) turns sideways after printing a fresh five-month high at 106.40. The US Dollar holds strength as Federal Reserve (Fed) Chair Jerome Powell leaned for keeping interest rates higher for a longer period as inflation data for March was not encouraging.

On the Australian Dollar front, investors await the Employment data for March, which will be published on Thursday. The Unemployment Rate is forecasted to have increased to 3.9% from 3.7% in February. In the same period, Australian employers are estimated to have hired 7.2K workers, significantly lower from 116.5K. Weak employment numbers would lift expectations for rate cuts by the Reserve Bank of Australia (RBA).

AUD/USD

Overview
Today last price 0.6434
Today Daily Change 0.0032
Today Daily Change % 0.50
Today daily open 0.6402
 
Trends
Daily SMA20 0.6532
Daily SMA50 0.6539
Daily SMA100 0.6598
Daily SMA200 0.654
 
Levels
Previous Daily High 0.6445
Previous Daily Low 0.6389
Previous Weekly High 0.6644
Previous Weekly Low 0.6456
Previous Monthly High 0.6667
Previous Monthly Low 0.6478
Daily Fibonacci 38.2% 0.6411
Daily Fibonacci 61.8% 0.6424
Daily Pivot Point S1 0.6379
Daily Pivot Point S2 0.6357
Daily Pivot Point S3 0.6324
Daily Pivot Point R1 0.6434
Daily Pivot Point R2 0.6467
Daily Pivot Point R3 0.649

 

 

Disclaimer: For information purposes only. Past performance is not indicative of future results.
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FX option expiries for May 17 NY cut FX option expiries for May 17 NY cut at 10:00 Eastern Time, via DTCC, can be found below - EUR/USD: EUR amounts 1.0675 753m 1.0725 652m 1.0740 494m 1.0775 825m 1.0800 601m 1.0810 813m 1.0820 685m 1.0825 500m 1.0850 3b 1.0875 1.2b 1.0915 1.1b - GBP/USD: GBP amounts 1.2475 550m - USD/CHF: USD amounts 0.9000 605m - USD/CAD: USD amounts 1.3600 508m 1.3675 887m 1.3725 924m 1.3735 585m - USD/JPY: USD amounts 152.50 1.1b 153.60 842m 154.00 2b 154.80 500m 155.00 2b 155.50 891m 156.0
Source  Fxstreet
FX option expiries for May 17 NY cut at 10:00 Eastern Time, via DTCC, can be found below - EUR/USD: EUR amounts 1.0675 753m 1.0725 652m 1.0740 494m 1.0775 825m 1.0800 601m 1.0810 813m 1.0820 685m 1.0825 500m 1.0850 3b 1.0875 1.2b 1.0915 1.1b - GBP/USD: GBP amounts 1.2475 550m - USD/CHF: USD amounts 0.9000 605m - USD/CAD: USD amounts 1.3600 508m 1.3675 887m 1.3725 924m 1.3735 585m - USD/JPY: USD amounts 152.50 1.1b 153.60 842m 154.00 2b 154.80 500m 155.00 2b 155.50 891m 156.0
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USD/NOK continues losing ground after US PPI, CPI data loomsThe USD/NOK pair is trading lower on Tuesday. Overall, the USD strength persists despite a mild bearish pressure and Jerome Powell confirmed its wait-and-watch approach by the bank.
Source  Fxstreet
The USD/NOK pair is trading lower on Tuesday. Overall, the USD strength persists despite a mild bearish pressure and Jerome Powell confirmed its wait-and-watch approach by the bank.
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NZD/USD extends its downside below 0.6020, US PPI data loomsThe NZD/USD pair extends its downside near 0.6015 during the early European session on Tuesday.
Source  Fxstreet
The NZD/USD pair extends its downside near 0.6015 during the early European session on Tuesday.
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