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Forex - AUD/USD hits fresh 4-year lows despite Australian data

Published 12/04/2014, 02:53 AM
Aussie drops further against greenback even after positive data
AUD/USD
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EUR/AUD
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Investing.com - The Australian dollar fell to fresh four-year lows against its U.S. counterpart on Thursday, despite the release of positive retail sales and trade balance data from Australia as demand for the greenback remained supported by Wednesday's U.S. data.

AUD/USD hit 0.8358 during late Asian trade, the pair's lowest since July 2010; the pair subsequently consolidated at 0.8383, shedding 0.24%.

The pair was likely to find support at 0.8086 and resistance at 0.8471, Wednesday's high.

Official data earlier showed that Australian retail sales rose 0.4% in October, more than the expected 0.1% gain. Retail sales in September were revised to an increase of 1.3% from a previously estimated 1.2% rise.

A separate report showed that Australia's trade deficit narrowed to A$1.132 billion in October from A$2.23 billion in September, whose figure was revised from a previously estimated deficit A$2.26 billion.

Analysts had expected the trade deficit to narrow to A$1.81 billion in October.

Meanwhile, the greenback remained supported after the Institute of Supply Management reported on Wednesday that its non-manufacturing purchasing manager's index rose to 59.3 last month from a reading of 57.1 in October. Analysts had expected the index to inch up to 57.5 in November.

The Aussie was also lower against the euro, with EUR/AUD gaining 0.32% to 1.4685.

Later in the day, the U.S. was to release the weekly report on initial jobless claims.

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