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Forex - AUD/USD drops to 4-1/2 year lows despite Australian data

Published 12/08/2014, 03:01 AM
Aussie drops vs. stronger greenback in early European trade
AUD/USD
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EUR/AUD
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Investing.com - The Australian dollar dropped to four-and-a-half year lows against its U.S. counterpart on Monday, despite positive data from Australia as demand for the greenback remained broadly supported.

AUD/USD hit 0.8270 during early European trade, the pair's lowest since June 2010; the pair subsequently consolidated at 0.8272, declining 0.50%.

The pair was likely to find support at 0.8086 and resistance at 0.8395, the high of December 5.

Data ealier showed that job advertisements in Australia rose 0.7% in November, after a 0.2% gain the previous month.

Meanwhile, the greenback remained broadly supported after the Labor Department reported on Friday that the U.S. economy added 321,000 jobs in November, far more than the 225,000 forecast by economists and the largest monthly increase in almost three years.

September’s figure was revised up to 243,000 from a previously reported 214,000 and the unemployment rate remained unchanged at a six-year low of 5.8%.

The strong data fuelled to expectations for the Federal Reserve to raise interest rates mid-2015, compared to expectations for September 2015 before the report.

The Aussie was also lower against the euro, with EUR/AUD gaining 0.40% to 1.4838.

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