Forex - AUD/USD falls to 2-day low as greenback firms up

Published 11/08/2010, 09:26 AM
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Investing.com – The Australian dollar snapped seven days of gains against its U.S. counterpart on Monday, falling to hit a 2-day low as the greenback firmed up after Friday’s significantly better-than-expected U.S. jobs data.

AUD/USD hit 1.0080 during European afternoon trade, the pair’s lowest since last Thursday; the pair subsequently consolidated at 1.0099, shedding 0.60%.

The pair was likely to find support at 0.9891, last Wednesday’s low and resistance at 1.0182, Friday’s high and an all-time high.

On Friday, the U.S. Department of Labor said that non-farm payrolls rose significantly more-than-expected in October, climbing by 151K after falling by a revised 41K in September. Analysts had expected non-farm payrolls to rise by 60K in October.

The strong data eased the selling pressure that had come to bear on the dollar following the Federal Reserve's announcement on a new round of quantitative easing.

Meanwhile, the Aussie was up against the euro, with EUR/AUD slipping 0.05% to hit 1.3803.

Earlier in the day, a report by the Australia & New Zealand Banking Group showed that Australian job advertisements rose in October for a sixth straight month. Jobs advertised in newspapers and on the Internet climbed 0.6% from September, when they rose by a revised 1.1%.

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