Forex
Home›Forex›Major Pairs›Aussie dollar slips on Middle East risk, US data, and…
Aussie dollar slips on Middle East risk, US data, and Fed minutes
AUD/USD traded around 0.7080 after a drop, following a 12.4% month over month fall in US housing starts and weaker industrial production.
The Australian dollar reversed against the US dollar on Tuesday, driven by lingering uncertainty over US-Iran tensions that could lift energy prices and raise the odds of tighter monetary policy, according to FXStreet. AUD/USD traded near 0.7080 after reaching 0.7119.
FXStreet said US housing and industrial production data disappointed traders. Housing starts fell 12.4% month over month to 1.239 million in July from 1.415 million in June, while industrial production slowed to 0.2% month over month versus an expected 0.3%.
In Australia, FXStreet noted traders are looking ahead to the release of the Wage Price Index for the second quarter, with forecasts at 0.8% and an annual decline to 3.2% from 3.3%. The outlet also cited Moody’s, which affirmed Australia’s Aaa credit rating with a stable outlook.
In the US calendar, FXStreet highlighted the release of the Federal Reserve’s last meeting minutes. On the technical outlook, the pair was described as holding above the 50-day simple moving average near 0.6993, with near term support around 0.7058 and a key pivot near 0.7080.