For the 24 hours to 23:00 GMT, the AUD declined 2.62% against the USD and closed at 0.6761.
LME Copper prices declined 3.2% or $189.0/MT to $5779.0/MT. Aluminium prices declined 1.1% or $20.0/MT to $ 1755.5/MT.
In the Asian session, at GMT0400, the pair is trading at 0.6758, with the AUD trading marginally lower against the USD from yesterday’s close.
Overnight data showed that Australia’s business confidence index registered an unexpected drop to 2.00 in December, compared to the market expectations for the business confidence to rise to a level of 1.00. Meanwhile, the business conditions index fell to a level of 3.00, in line with market expectations and compared to a level of 4.00 in the previous month.
The pair is expected to find support at 0.6734, and a fall through could take it to the next support level of 0.6709. The pair is expected to find its first resistance at 0.6796, and a rise through could take it to the next resistance level of 0.6833.
Looking ahead, market participants would keep a close watch on Australia’s Westpac leading index for December and consumer inflation, slated to release overnight.
The currency pair is trading below its 20 Hr and 50 Hr moving averages
