AUD/USD: Aus jobs, FOMC Send Rate To Highest in 7 Weeks

Not only the FOMC outcome vindicate the bullish movement in the Aussie, but the reduction in the unemployment rate in Australia from 5% to 4.9%, despite not accompanied by a beat in the jobs headline number, has sufficed to send the exchange rate above 0.7150. Note, the Aussie has not been able to gather as decisive buying flows as the Euro or the Yen, given that the US-Sino trade talks appear to have hit a wall that may see further delays to ink a deal, and as we all know, there is no better and more efficient way to trade China than through the Australian Dollar as a proxy. For now, judging by the intermarket flows in the hourly, I consider the market to be predominantly in buying mode only as well, with the flows in the DXY, Yuan (both inverted) as well as in the AU-US bond yield spread backing up the trend. The only downside that may act as a counterbalance effect is the short-term gloomy mood in stocks as the bearish micro slope in the S&P 500 reflects. The best course of action, until micro intermarket flows shift, is to support the buy-side bias.