👀 Ones to watch: The MOST undervalued stocks to buy right nowSee Undervalued Stocks

Forex - AUD/USD edges lower, easing hopes remain

Published 07/30/2012, 02:53 AM
AUD/USD
-
AUD/NZD
-
Investing.com - The Australian dollar edged lower against its U.S. counterpart on Monday, as global growth concerns continued to weigh on market sentiment, while investors eyed meetings by the European Central Bank and the Federal Reserve amid expectations for more easing measures.

AUD/USD hit 1.0450 during late Asian trade, the daily low; the pair subsequently consolidated at 1.0461, fell 0.21%.

The pair was likely to find support at 1.3083, the low of July 27 and resistance at 1.0557, the high of March 27.

The risk-related Aussie was boosted last week, after European Central Bank President Mario Draghi pledged to do whatever was necessary to protect the euro zone from collapse, fueling hopes that the ECB would act to lower borrowing costs for highly indebted countries such as Spain and Italy.

German Chancellor Angela Merkel and French President François Hollande vowed to defend the euro in a joint statement on Friday and said that they are "deeply committed to the integrity of the euro zone."

Investors remained cautious however as German Economy Minister Philipp Roesler warned the ECB earlier about any large-scale government bond purchases.

Markets were also looking ahead to the outcome of the Federal Reserve’s policy setting meeting on Wednesday, amid speculation over whether the bank will hint at further easing measures.

In Australia, industry data showed that new home sales rose 2.8% in June, after a 0.7% increase the previous month.

Elsewhere, the Aussie was steady against the New Zealand dollar with AUD/NZD inching up 0.06%, to hit 1.2946.

Also Monday, official data showed that building consents in New Zealand rose 5.7% in June, following a 7.2% decline the previous month.


Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.