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Aug 18 - 07:55 PM

AUD/USD - Buoyant As RBA-Fed Rate Expectations Divergence

By Krishna K  —  Aug 18 - 06:50 PM
  • AUD/USD poised for test of 0.6692 resistance after closing 0.92% higher Fri

  • 0.6692, 76.4% of 0.6798-0.6348 July-Aug drop, may put up a fight on 1st try

  • Diverging RBA-Fed rate expectations likely to result in eventual break

  • Fed officials prepare markets for Sep rate cut with dovish weekend comments

  • Powell may signal that Fed easing is imminent at Aug 23 Jackson Hole speech

  • AUD also boosted by investors tip-toeing bank into carry trades

  • But concerns over China's floundering economy may slow AUD rally

  • Clear break of 0.6692 opens ratchet to 0.6730-40; support 0.6635-45

  • Friday global range 0.6608-0.6671; Monday Asia range 0.6666-0.6677

  • For more click on FXBUZ

Source:
Refinitiv IFR Research/Market Commentary

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