Confirming you are not from the U.S. or the Philippines

By giving this statement, I explicitly declare and confirm that:
  • I am not a U.S. citizen or resident
  • I am not a resident of the Philippines
  • I do not directly or indirectly own more than 10% of shares/voting rights/interest of the U.S. residents and/or do not control U.S. citizens or residents by other means
  • I am not under the direct or indirect ownership of more than 10% of shares/voting rights/interest and/or under the control of U.S. citizen or resident exercised by other means
  • I am not affiliated with U.S. citizens or residents in terms of Section 1504(a) of FATCA
  • I am aware of my liability for making a false declaration.
For the purposes of this statement, all U.S. dependent countries and territories are equalled to the main territory of the USA. I accept full responsibility for the accuracy of this declaration and commit to personally address and resolve any claims or issues that may arise from a breach of this statement.
We are dedicated to your privacy and the security of your personal information. We only collect emails to provide special offers and important information about our products and services. By submitting your email address, you agree to receive such letters from us. If you want to unsubscribe or have any questions or concerns, write to our Customer Support.
Octa trading broker
Open trading account
Back

AUD/USD rallies above the 200-DMA at around 0.6830 post-hawkish Fed minutes

  • The Australian economic calendar eyes the release of the Services PMI.
  • US Federal Reserve policymakers are not projecting any rate cuts in 2023.
  • Chinese authorities lifting a ban on Australian coal could underpin the AUD/USD.

The AUD/USD erased Tuesday’s losses and climbed above the 200-day Exponential Moving Average (EMA), bolstered by China’s news lifting an import ban on Australia’s coal. Also, a tranche of US economic data and the release of the Federal Reserve’s last meeting minutes failed to propel the US Dollar (USD). At the time of writing, the AUD/USD is trading at 0.6840 after diving to a daily low of 0.6716.

AUD/USD climbed above the 200-day EMA

The US stock market closed Wednesday with solid gains. According to the last monetary policy meeting minutes of the Federal Reserve, policymakers do not expect to cut rates in 2023. Fed officials added that slowing the pace of rate hikes is “weakening commitment to achieving price stability on that inflation is already on a persistent downward path.” They said that inflation could be more persistent.

Aside from this, earlier, the December US ISM Manufacturing PMI came below estimates for the second consecutive month at 48.4 vs. estimates of 48.5. At the same time, the Bureau of Labor Statistics (BLS) revealed JOLTs Opening for November jumped more than estimates of 10M, came at 10.458M, while October figures were upward revised.

In the Fedspeak front, Minnesota’s Fed President Neil Kashkari said that it would be appropriate to continue to hike rates “at least at the next few meetings” until inflation has peaked and foresees the Federal Funds rate (FFR) at 5.4%. He added that the Fed must avoid cutting the policy rate prematurely and would consider cutting only when it’s convinced inflation is on its way back down to 2%.

Aside from this, Chinese authorities are planning to resume imports from Australian coal following a two-year ban as relations between both parties improved. Therefore, the commodity-linked Australian Dollar (AUD) got bolstered, and the AUD/USD rallied sharply toward fresh three-week highs of 0.6835.

Ahead of Thursday’s Asian session, the Australia economic docket will feature Australian Services PMI alongside Caixin Services PMI for China. On the US front, the calendar will reveal the Trade Balance alongside the Initial Jobless Claims for the week ending on December 31.

AUD/USD Key Technical Levels

 

United States API Weekly Crude Oil Stock increased to 3.298M in December 30 from previous -1.3M

United States API Weekly Crude Oil Stock increased to 3.298M in December 30 from previous -1.3M
Read more Previous

Australia S&P Global Services PMI above expectations (46.9) in December: Actual (47.3)

Australia S&P Global Services PMI above expectations (46.9) in December: Actual (47.3)
Read more Next