The Aussie is faring even worse following another dovish RBA speech that has left Aud/Usd clinging to the 0.7700 handle on the eve of jobs data and the latest RBA bulletin.
It remains to be seen whether the final bouts of pre-FOMC positioning push the Buck back down and into negative territory, but for now the Dollar is holding broad gains with the index pivoting 91.900 within tight confines. The latest batch of underwhelming US data in the guise of weekly MBA mortgage applications, February building permits and housing starts have largely been discounted as Treasuries revert to bear-steepening mode and benchmark yields reach new cycle highs before plateauing. However, the index has fallen a fraction short of touching 92.000 having peered just above on Tuesday’s and it is quite possible, if not probable that the Greenback emerges from the forthcoming Fed event on a weaker note – our detailed FOMC preview, including the SEP and chair Powell’s post-meeting press conference is available via the Research Suite and will be re-posted in the run up to 18.00GMT.
It remains to be seen whether the final bouts of pre-FOMC positioning push the Buck back down and into negative territory, but for now the Dollar is holding broad gains with the index pivoting 91.900 within tight confines. The latest batch of underwhelming US data in the guise of weekly MBA mortgage applications, February building permits and housing starts have largely been discounted as Treasuries revert to bear-steepening mode and benchmark yields reach new cycle highs before plateauing. However, the index has fallen a fraction short of touching 92.000 having peered just above on Tuesday’s and it is quite possible, if not probable that the Greenback emerges from the forthcoming Fed event on a weaker note – our detailed FOMC preview, including the SEP and chair Powell’s post-meeting press conference is available via the Research Suite and will be re-posted in the run up to 18.00GMT.
Comment:
Aussie is the G10 outperformer and managing to stay above 0.7800 vs its US rival following a pretty resounding labour report in terms of the key metrics that smashed consensus forecasts, and with the impressive headline payrolls beat all down to full time jobs.