Investing.com - The Australian dollar edged down against its U.S. counterpart on Thursday, but continued to hover near four-month highs after a last minute budget agreement was reached in the U.S., lifting market sentiment.
AUD/USD hit 0.9528 during late Asian trade, the session low; the pair subsequently consolidated at 0.9540, slipping 0.13%.
The pair was likely to find support at 0.9435, the low of October 14 and resistance at 0.9642, the high of June 17.
Market sentiment improved amid relief over the last minute deal to avert an unprecedented U.S. sovereign debt default.
The deal will fund the government until January 15 and raise the government borrowing limit until February 7. Both sides also agreed to talks over broad budget issues in an attempt to reach a longer-term deal by December 13.
The agreement came with just hours to spare before the deadline to raise the USD16.7 trillion debt ceiling.
President Barack Obama signed the bill into law early on Thursday morning and pledged to begin reopening the government "immediately."
However, investors remained concerned over the economic impact of the government shutdown and the possibility of another debt crisis, as the temporary solution does not resolve the underlying budgetary issues dividing Republicans and Democrats.
Elsewhere, the National Bank of Australia said its business confidence index rose to 3 in the third quarter, from a reading of minus 1 in the three months to June.
The Aussie was lower against the euro with EUR/AUD rising 0.32%, to hit 1.4208.
Later in the day, the U.S. was to publish a report on initial jobless claims and the Philly Fed manufacturing index.
AUD/USD hit 0.9528 during late Asian trade, the session low; the pair subsequently consolidated at 0.9540, slipping 0.13%.
The pair was likely to find support at 0.9435, the low of October 14 and resistance at 0.9642, the high of June 17.
Market sentiment improved amid relief over the last minute deal to avert an unprecedented U.S. sovereign debt default.
The deal will fund the government until January 15 and raise the government borrowing limit until February 7. Both sides also agreed to talks over broad budget issues in an attempt to reach a longer-term deal by December 13.
The agreement came with just hours to spare before the deadline to raise the USD16.7 trillion debt ceiling.
President Barack Obama signed the bill into law early on Thursday morning and pledged to begin reopening the government "immediately."
However, investors remained concerned over the economic impact of the government shutdown and the possibility of another debt crisis, as the temporary solution does not resolve the underlying budgetary issues dividing Republicans and Democrats.
Elsewhere, the National Bank of Australia said its business confidence index rose to 3 in the third quarter, from a reading of minus 1 in the three months to June.
The Aussie was lower against the euro with EUR/AUD rising 0.32%, to hit 1.4208.
Later in the day, the U.S. was to publish a report on initial jobless claims and the Philly Fed manufacturing index.