- For the third straight day AUD/USD is reporting losses.
- Australian upgrade data has not allowed AUD to find demand.
- The US dollar index hangs ahead of US data with limited earnings above 90.00.
On the first day of the week, the AUD/USD pair closed modestly down and on Tuesday they spread out lower. Although the pair could pull off the low level of 0.7530, it is still in the negative region.
The details released earlier in the day by the Australian Bureau of Statistics indicates that retail prices rose by 7% monthly in November. This reading was well above October’s 1.4% rise, but did not raise the AUD.
However, the US Dollar Index (DXY) stays calm after fluctuating in a broad range on Monday. At the beginning of the week, safe haven flows dominated financial markets despite revived concerns about coronaviruses and helped greenback outperform their competitors. However, with the US stimulus offer that encourages investors to stay confident, the USD has lost its appeal and the DXY has limited its profits.
The third quarter of the Gross Domestic Product (GDP) survey of the US Bureau of Economic Analysis, Current Home Sales and the US Manufacturing Index Richmond Fed will look forward to a fresh momentum in this session. The personal sector credit and balance data will appear in the Australian economic docket during the early trading hours of the Asian session on Wednesday.