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May 24 - 11:55 PM

AUD/USD - Remains Under Pressure As Firm Us Yields Weigh

By John Noonan  —  May 24 - 10:50 PM
  • AUD/USD remains under pressure in Asia after 1.0% fall on Wednesday

  • The US 2-year yield is 2 bps higher at 4.407% and supporting USD

  • Market is pricing in around a 60% chance Fed will hike 25 bps by July

  • AUD/USD has traded to fresh 6-month low at 0.6527 and is now around 0.6535

  • There isn't any support of note ahead of 76.4 of 0.6170/0.7158 move @ 0.6403

  • It broke below the 61.8 of that move Wednesday to add technical pressure

  • China demand concerns weigh as Dalian iron ore has fallen 10% in last week

Source:
Refinitiv IFR Research/Market Commentary

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