Investing.com - The Australian dollar was lower against its U.S. counterpart on Thursday, as Wednesday’s downbeat economic reports from the U.S. and the euro zone continued to weigh on sentiment while investors eyed the European Central Bank’s upcoming policy meeting.
AUD/USD hit 1.0286 during late Asian trade, the daily low; the pair subsequently consolidated at 1.0295, shedding 0.36%.
The pair was likely to find support at 1.0256, the low of April 9 and resistance at 1.0354, Wednesday’s high.
Risk sentiment weakened after data showed that the final euro zone manufacturing index slumped to a 34-month low in April, while the unemployment rate in the bloc climbed to a record 10.7% in March.
Investor confidence was also hit after U.S. data showed that the private sector added 119,000 jobs in April, far short of expectations for a gain of 177,000. It was the smallest increase in ADP nonfarm payrolls since September 2011.
In Australia, industry data showed earlier that the services activity index fell to 39.6 in April from 47.0 the previous month.
Markets were eyeing the ECB’s policy meeting later in the day as well as the Reserve Bank of Australia’s interest rate decision on Friday, ahead of weekend elections in Greece and France.
Elsewhere, the Aussie was higher against the New Zealand dollar with AUD/NZD adding 0.38%, to hit 1.2790.
Also Thursday, official data showed that New Zealand’s unemployment rate rose to 6.7%, from 6.4% in the fourth quarter, disappointing expectations for a decline to 6.3%.
Later in the day, the U.S. was to produce government data on unemployment claims, as well as preliminary data on nonfarm productivity and unit labor costs. In addition, the Institute of Supply Management was to produce a report on service sector growth.
AUD/USD hit 1.0286 during late Asian trade, the daily low; the pair subsequently consolidated at 1.0295, shedding 0.36%.
The pair was likely to find support at 1.0256, the low of April 9 and resistance at 1.0354, Wednesday’s high.
Risk sentiment weakened after data showed that the final euro zone manufacturing index slumped to a 34-month low in April, while the unemployment rate in the bloc climbed to a record 10.7% in March.
Investor confidence was also hit after U.S. data showed that the private sector added 119,000 jobs in April, far short of expectations for a gain of 177,000. It was the smallest increase in ADP nonfarm payrolls since September 2011.
In Australia, industry data showed earlier that the services activity index fell to 39.6 in April from 47.0 the previous month.
Markets were eyeing the ECB’s policy meeting later in the day as well as the Reserve Bank of Australia’s interest rate decision on Friday, ahead of weekend elections in Greece and France.
Elsewhere, the Aussie was higher against the New Zealand dollar with AUD/NZD adding 0.38%, to hit 1.2790.
Also Thursday, official data showed that New Zealand’s unemployment rate rose to 6.7%, from 6.4% in the fourth quarter, disappointing expectations for a decline to 6.3%.
Later in the day, the U.S. was to produce government data on unemployment claims, as well as preliminary data on nonfarm productivity and unit labor costs. In addition, the Institute of Supply Management was to produce a report on service sector growth.