Soaring commodity prices have produced AUD/USD multi-week highs despite market turbulence but the upside remains vulnerable. Analysts at Westpac tend to see the aussie as capped by the 200-day moving average (DMA) at 0.7326.
Yield spreads to help keep a lid on AUD/USD
“AUD/USD should still find resistance around the 200-DMA (currently 0.7326).”
“The RBA did not do the aussie any favours with its wary statement accompanying maintenance of the cash rate at 0.1%.”
“With Fed Chair Powell reaffirming the first of likely many rate hikes is set to be delivered this month, we expect yield spreads to help keep a lid on AUD/USD in the week ahead.”