Investing.com - The Australian dollar hit session highs against the U.S. dollar on Monday, buoyed by hopes for a resolution to the U.S. fiscal cliff, while investors looked ahead to a speech by Reserve Bank of Australian Governor Glen Stevens on Tuesday.
AUD/USD hit 1.0378 during late Asian trade, the pair’s highest since November 15; the pair subsequently consolidated at 1.0367, gaining 0.28%.
The pair was likely to find support at 1.0306, the low of November 15 and resistance at 1.0457, the high of November 14.
Market sentiment was bolstered after U.S. Congressional leaders said talks with President Barack Obama on Friday to avert the fiscal cliff, a combination of automatic tax increases and spending cuts due to come into effect from January, were "constructive."
Market participants were anticipating a speech by the head of Australia’s central bank on Tuesday, amid speculation over whether the RBA will announce more interest rate cuts in the coming months.
A decision by the RBA to leave interest rates on hold at 3.25% earlier this month surprised investors, who had expected another rate cut.
The Aussie was slightly higher against the euro, with EUR/AUD slipping 0.11% to 1.2309.
Later Monday, the U.S. was to release an industry report on existing home sales.
AUD/USD hit 1.0378 during late Asian trade, the pair’s highest since November 15; the pair subsequently consolidated at 1.0367, gaining 0.28%.
The pair was likely to find support at 1.0306, the low of November 15 and resistance at 1.0457, the high of November 14.
Market sentiment was bolstered after U.S. Congressional leaders said talks with President Barack Obama on Friday to avert the fiscal cliff, a combination of automatic tax increases and spending cuts due to come into effect from January, were "constructive."
Market participants were anticipating a speech by the head of Australia’s central bank on Tuesday, amid speculation over whether the RBA will announce more interest rate cuts in the coming months.
A decision by the RBA to leave interest rates on hold at 3.25% earlier this month surprised investors, who had expected another rate cut.
The Aussie was slightly higher against the euro, with EUR/AUD slipping 0.11% to 1.2309.
Later Monday, the U.S. was to release an industry report on existing home sales.