Investing.com - The Australian dollar was slightly higher against its U.S. counterpart on Tuesday, but gains were capped as investors remained concerned over the euro zone’s debt crisis and a political deadlock on deficit reduction in the U.S.
AUD/USD hit 0.9887 during late Asian trade, the daily high; the pair subsequently consolidated at 0.9885, gaining 0.41%.
The pair was likely to find support at 0.9749, the low of October 10 and resistance at 1.0012, Monday’s high.
The Aussie found support after Greek Finance Minister Evangelos Venizelos said that euro zone officials would make a decision regarding the next tranche of Greek aid as soon as November 29.
On Monday, a U.S. congressional “super committee” failed to forge a deficit reduction deal and called for Congress to work out an agreement before painful automatic budget cuts take place in 2013.
Ratings agency Fitch said that a failure to reach an agreement was likely to result in a revision of the rating outlook to “negative,” rather than a downgrade.
Standard & Poor's said the news validated its decision to make its first U.S. credit downgrade in August.
Elsewhere, the Aussie was sown against the New Zealand dollar with AUD/NZD edging down 0.05%, to trade at 1.3166.
Later Tuesday, the U.S. was to release preliminary data on gross domestic product, while the U.S. Federal Reserve was to publish the minutes of its November policy meeting.
AUD/USD hit 0.9887 during late Asian trade, the daily high; the pair subsequently consolidated at 0.9885, gaining 0.41%.
The pair was likely to find support at 0.9749, the low of October 10 and resistance at 1.0012, Monday’s high.
The Aussie found support after Greek Finance Minister Evangelos Venizelos said that euro zone officials would make a decision regarding the next tranche of Greek aid as soon as November 29.
On Monday, a U.S. congressional “super committee” failed to forge a deficit reduction deal and called for Congress to work out an agreement before painful automatic budget cuts take place in 2013.
Ratings agency Fitch said that a failure to reach an agreement was likely to result in a revision of the rating outlook to “negative,” rather than a downgrade.
Standard & Poor's said the news validated its decision to make its first U.S. credit downgrade in August.
Elsewhere, the Aussie was sown against the New Zealand dollar with AUD/NZD edging down 0.05%, to trade at 1.3166.
Later Tuesday, the U.S. was to release preliminary data on gross domestic product, while the U.S. Federal Reserve was to publish the minutes of its November policy meeting.