The Australian Dollar (AUD) continued its upward trend for a second consecutive session on Monday, supported by a weaker US Dollar (USD). However, gains were tempered following China's decision to maintain its one-year and five-year Loan Prime Rates (LPR) unchanged at 3.45% and 3.95%, respectively.
The Aussie Dollar faces challenges as Australia's 10-year government bond yield dropped to 4.2%, its lowest in a month, driven by a softer domestic jobs report for Q1. Wage growth slowdown has reduced expectations of Reserve Bank of Australia (RBA) interest rate hikes, with the Wage Price Index (QoQ) up by 0.8%, below the expected 0.9% and marking the smallest increase since late 2022.
Meanwhile, the US Federal Reserve (Fed) maintains a cautious stance on inflation, with Federal Reserve Board of Governors member Michelle Bowman noting concerns that inflation progress may not be consistent, attributing the temporary decline last year to ongoing challenges this year.
Technically, the AUD/USD pair is hovering around the psychological level of 0.6700, forming an ascending triangle on the daily chart with the 14-day Relative Strength Index (RSI) indicating bullish sentiment above the 50 mark.
Potential resistance lies near the four-month peak of 0.6714, with further upside possible towards 0.6750. Support levels include the nine-day Exponential Moving Average (EMA) at 0.6653 and major support at 0.6650, while downside breaks could target 0.6610 and the psychological level of 0.6600, with further support at 0.6550.
AUD/USD: Daily Chart
Australian Dollar price today
The Australian Dollar's (AUD) percentage move against the main currencies listed today is displayed in the table below. The strongest currency relative to the New Zealand dollar was the Australian dollar.
| USD | EUR | GBP | CAD | AUD | JPY | NZD | CHF | |
| USD | 0.00% | 0.02% | 0.01% | 0.02% | 0.04% | 0.18% | 0.05% | |
| EUR | 0.00% | 0.03% | 0.02% | 0.04% | 0.06% | 0.19% | 0.08% | |
| GBP | -0.02% | -0.03% | -0.01% | 0.01% | 0.03% | 0.17% | 0.04% | |
| CAD | -0.01% | -0.02% | 0.03% | 0.02% | 0.04% | 0.17% | 0.05% | |
| AUD | -0.02% | -0.03% | -0.01% | -0.01% | 0.01% | 0.16% | 0.03% | |
| JPY | -0.03% | -0.05% | -0.02% | -0.01% | -0.03% | 0.12% | 0.01% | |
| NZD | -0.18% | -0.20% | -0.17% | -0.17% | -0.16% | -0.15% | -0.12% | |
| CHF | -0.08% | -0.08% | -0.05% | -0.05% | -0.03% | -0.02% | 0.12% |
Paraphrasing text from "FX Street" all rights reserved by the original author.
