- AUD/USD up amid dollar selling.
- Brexit hopes trigger risk buying.
- UK-France border reopening helps the bulls.
AUD/USD continues its move higher for the second consecutive day and tries to sustain the momentum above 0.7600. In the Asian session, the pair moved higher on a bearish dollar after global risk sentiments turned positive on signs of a Brexit-deal getting hammered out soon.
The Brexit development helped the risk-bulls sidestep the US President’s threat of stalling the 892-billion dollar fiscal-stimulus bill.
Meanwhile, the reopening of the UK-France border pacified the rattled investors after discovering a mutant variant of coronavirus in the UK. The easing of border restrictions signalled to the investors that the situation is under control. The equity markets went up, taking the cue, and the bullishness weighed on the US dollar demand.
Nevertheless, the AUD/USD has to cover a lot of ground to regain the weekly highs, which might not be easy given the low volume environment ahead of the Christmas holidays.
The day ahead for the AUD/USD might be subdued as the economic docket has no major releases lined up. Traders will keep an eye on the Brexit headlines and coronavirus updates for short-term trading opportunities.
At the time of writing, one Australian dollar buys 0.7595 US dollars, up 0.30% as of 08:55 AM UTC.
Currencylive.com is a news site only and not a currency trading platform. Currencylive.com is a site operated by Wise US Inc ("We", "Us"), a Delaware Corporation. We do not guarantee that the website will operate in an uninterrupted or error-free manner or is free of viruses or other harmful components. The content on our site is provided for general information only and is not intended as an exhaustive treatment of its subject. We expressly disclaim any contractual or fiduciary relationship with you on the basis of the content of our site, any you may not rely thereon for any purpose. You should consult with qualified professionals or specialists before taking, or refraining from, any action on the basis of the content on our site. Although we make reasonable efforts to update the information on our site, we make no representations, warranties or guarantees, whether express or implied, that the content on our site is accurate, complete or up to date, and DISCLAIM ANY IMPLIED WARRANTIES OF MERCHANTABILITY OR FITNESS FOR A PARTICULAR PURPOSE. Some of the content posted on this site has been commissioned by Us, but is the work of independent contractors. These contractors are not employees, workers, agents or partners of Wise and they do not hold themselves out as one. The information and content posted by these independent contractors have not been verified or approved by Us. The views expressed by these independent contractors on currencylive.com do not represent our views.