Investing.com - The Australian dollar rose to two-week highs against its U.S. counterpart on Wednesday, supported by upbeat Australian economic growth data, although expectations for the Federal Reserve to soon begin tapering its stimulus program still supported the greenback.
AUD/USD hit 0.9117 during late Asian trade, the pair's highest since August 20; the pair subsequently consolidated at 0.9111, gaining 0.56%.
The pair was likely to find support at 0.8972, Tuesday's low and resistance at 0.9233, the high of August 19.
Official data showed that Australia's gross domestic product expanded by 0.6% in the second quarter, in line with expectations, following a downwardly revised 0.5% expansion in the three months to March.
In the U.S., data on Tuesday showed that manufacturing activity expanded at the fastest rate since April 2011 in August. The upbeat data reinforced the view that the Fed could start to unwind its stimulus program at its upcoming policy meeting on September 17-18.
The Institute for Supply Management said its purchasing managers’ index rose to 55.7 in August from a reading of 55.4 in July. Analysts had expected a reading of 54.0.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls report which is seen as central to the Fed’s decision on tapering.
The Aussie was also higher against the euro with EUR/AUD shedding 0.54%, to hit 1.4459.
Later in the day, the U.S. was to publish a report on the trade balance.
AUD/USD hit 0.9117 during late Asian trade, the pair's highest since August 20; the pair subsequently consolidated at 0.9111, gaining 0.56%.
The pair was likely to find support at 0.8972, Tuesday's low and resistance at 0.9233, the high of August 19.
Official data showed that Australia's gross domestic product expanded by 0.6% in the second quarter, in line with expectations, following a downwardly revised 0.5% expansion in the three months to March.
In the U.S., data on Tuesday showed that manufacturing activity expanded at the fastest rate since April 2011 in August. The upbeat data reinforced the view that the Fed could start to unwind its stimulus program at its upcoming policy meeting on September 17-18.
The Institute for Supply Management said its purchasing managers’ index rose to 55.7 in August from a reading of 55.4 in July. Analysts had expected a reading of 54.0.
Investors were looking ahead to Friday’s U.S. nonfarm payrolls report which is seen as central to the Fed’s decision on tapering.
The Aussie was also higher against the euro with EUR/AUD shedding 0.54%, to hit 1.4459.
Later in the day, the U.S. was to publish a report on the trade balance.