AUD taking centre stage ahead of US jobs data
City Index October 3, 2012 2:10 PM
<p>FX markets are fixated on the AUD this morning following the break of the 100-day moving average overnight at 1.0240 with the market now eyeing […]</p>
FX markets are fixated on the AUD this morning following the break of the 100-day moving average overnight at 1.0240 with the market now eyeing the September 6th low of 1.0165. The catalyst behind the overnight move comes from the weaker services PMI data from China at 53.7 (the lowest reading since November 2010), the Australian trade deficit falling to AUD 2.03 billion versus an expected number of AUD 685 million with rating agency Moody’s putting the final boot in by downgrading the state of Tasmania.
Spanish yields continued to ease yesterday so it wasn’t really a surprise that after the European close Spanish PM Rajoy said that Spain are not yet ready to ask for aid. The market view seems to be that this request will come just before the EU meeting.
Today’s data will be a preview to the NFP’s on Friday with the release of the ADP report at 1.15pm with the ISM non-manufacturing data released at 3pm.
Supports 1.2870-1.2825-1.2800 | Resistance 1.2965-1.3000-1.3045
Supports 78.00-77.75-77.40 | Resistance 78.35-78.55-78.80
Supports 1.6085-1.6005-1.5990 | Resistance 1.6135-1.6185-1.6200
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