Forex - AUD/USD falls to 8-day low after Australian data

Published 11/15/2012, 02:53 AM
Updated 11/15/2012, 02:55 AM
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Investing.com - The Australian dollar fell to an eight-day low against its U.S. counterpart on Thursday, after the release of disappointing economix data from Australia, while investors eyed the release of key euro zone reports later in the day.

AUD/USD hit 1.0348 during European morning trade, the pair's lowest since November 5; the pair subsequently consolidated at 1.0361, falling 0.14%.

The pair was likely to find support at 1.0331, the low of November 2 and resistance at 1.0387, the session high.

The Melbourne Institute said earlier in a report that its inflation expectations for Australia ticked down to 2.2% in October, from 2.6% the previous month.

A separate report showed that new motor vehicle sales in Australia fell by 2.8% last month, after a 4.7% increase in September.

Meanwhile, sentiment remained under pressure amid ongoing uncertainty over whether Greece is about to receive an additional tranche of financial aid.

Elsewhere, in the minutes of its October policy meeting, the Federal Reserve said on Wednesday that it may need to expand its monthly purchases of bonds next year, after the expiration of a program to extend the maturities of assets on its balance sheet, known as Operation Twist.

The Aussie was also lower against the euro with EUR/AUD adding 0.22%, to hit 1.2303.

Also Thursday, official data showed that the pace of Germany's economic growth slowed to 0.2% in the third quarter, following a 0.3% increase in the previous quarter.

Later in the day, the U.S. was to release reports on initial jobless claims, consumer price inflation, crude oil stockpiles, in addition to data on manufacturing activity in New York and Philadelphia.

Meanwhile, a speech by Fed Chairman Ben Bernanke was to be closely watched for any indications on the future possible direction of monetary policy.


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