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Forex - AUD/USD jumps after Australian data

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Investing.com - " The Australian dollar continued its recent bullishness against its U.S counterpart during Wednesday's Asian session, soaring after the release of Australian inflation data.

In Asian trading Wednesday, AUD/USD rose 0.38% to 0.9747. The pair was likely to find support at 0.9605, the low of October 18 and resistance at 0.9760, the high of June 4.

The Aussie was boosted after the Australian Bureau of Statistics said that Australia's consumer price inflation rose to 1.2% in the third quarter after a 0.4% reading in the prior quarter. Analysts expected a third-quarter reading of 0.8%.

In a separate report, the Reserve Bank of Australia said that Australian trimmed mean CPI was 0.7% last quarter up from 0.6% in the second quarter. Analysts expected a third-quarter reading of 0.6%.

Although the Aussie has been a stout performer as of late against the greenback, some traders see limited upside from here for AUD/USD.

Currency strategists expect the Australian dollar to trend lower once the Federal Reserve starts to wind back its unprecedented stimulus program, according to the Sydney Morning Herald.

However, when tapering actually occurs is up for debate and it could very well be delayed after the U.S. Labor Department said the U.S. economy added 148,000 jobs in September, well below expectations for an increase of 180,000.

The previous month's figure was revised up to a gain of 193,000 from a previously reported increase of 169,000. July's figure was revised down to 89,000 from 104,000. The unemployment rate in the world's largest economy fell to 7.2% from 7.3%.

Elsewhere, AUD/JPY advanced 0.27% to 95.57 while AUD/NZD soared 0.65% to 1.1479.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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