Investing.com - The Australian dollar fell against its U.S. counterpart on Monday as investors looked beyond Federal Reserve Chairman Ben Bernanke's dovish speech on Friday and ditched the growth-sensitive currency to see if headwinds return and threaten global recovery.
In Asian trading on Monday, AUD/USD hit 1.0261, down 0.61%, up from a session low of 1.0256 and off from a high of 1.0274.
The pair was likely to test support at 1.0244, the low from July 23, and resistance at 1.0354, the high on Aug. 31.
The Australian dollar and most other global currencies soared against the greenback on Friday after U.S. Federal Reserve Chairman Ben Bernanke said in a speech the U.S. central bank would consider rolling out stimulus measures should the U.S. economy wane from its already lackluster recovery.
The unit quickly reversed gains on Monday, however, over concerns that the European Central Bank has still not announced plans to buy Spanish and Italian sovereign debt, while growth prospects in China remains cloudy as well.
Australia is a major supplier of commodities and other goods to China and often trades sensitively to concerns that the global commodity faces building headwinds.
Australian retail sales were due out later, and despite global rallies stemming from hopes of monetary stimulus in the U.S., fears that sales data may disappoint and reflect a fundamental weakness in the Australian economy sparked a risk-off trading session that sent the Aussie weakening.
The Australian dollar, meanwhile was down against the euro and down against the yen, with EUR/AUD up 0.50% at 1.2244 and AUD/JPY down 0.76% at 80.29.
Later Monday in the eurozone, ECB President Mario Draghi is scheduled to testify before the European Parliament's Economic and Monetary Affairs Committee, in Brussels.
Spain and Italy, meanwhile, will release official data on manufacturing activity.
U.S. markets will be closed for the Labor Day holiday.
In Asian trading on Monday, AUD/USD hit 1.0261, down 0.61%, up from a session low of 1.0256 and off from a high of 1.0274.
The pair was likely to test support at 1.0244, the low from July 23, and resistance at 1.0354, the high on Aug. 31.
The Australian dollar and most other global currencies soared against the greenback on Friday after U.S. Federal Reserve Chairman Ben Bernanke said in a speech the U.S. central bank would consider rolling out stimulus measures should the U.S. economy wane from its already lackluster recovery.
The unit quickly reversed gains on Monday, however, over concerns that the European Central Bank has still not announced plans to buy Spanish and Italian sovereign debt, while growth prospects in China remains cloudy as well.
Australia is a major supplier of commodities and other goods to China and often trades sensitively to concerns that the global commodity faces building headwinds.
Australian retail sales were due out later, and despite global rallies stemming from hopes of monetary stimulus in the U.S., fears that sales data may disappoint and reflect a fundamental weakness in the Australian economy sparked a risk-off trading session that sent the Aussie weakening.
The Australian dollar, meanwhile was down against the euro and down against the yen, with EUR/AUD up 0.50% at 1.2244 and AUD/JPY down 0.76% at 80.29.
Later Monday in the eurozone, ECB President Mario Draghi is scheduled to testify before the European Parliament's Economic and Monetary Affairs Committee, in Brussels.
Spain and Italy, meanwhile, will release official data on manufacturing activity.
U.S. markets will be closed for the Labor Day holiday.