Australian, NZ Dollars Slide On Trade Talk Worries
20 November 2019 - 1:37PM
RTTF2
The Australian and New Zealand dollars fell against their major
counterparts in the Asian session on Wednesday amid risk aversion,
as U.S. President Donald Trump threatened to raise tariffs on
Chinese goods if 'phase one' deal is not reached soon.
Trump said that he would "just raise the tariffs even higher" if
a deal cannot be reached with China.
Trump's remarks raised further uncertainty over forging a trade
deal with Beijing.
News that the U.S. Senate passed legislation supporting
protesters in Hong Kong also weighed on the markets. China has
condemned the U.S. Senate measure and threatened to retaliate over
the bill.
Investors await minutes from the Federal Reserve's October
policy meeting due later today. At the meeting, the Fed had cut
rates and suggested a 'pause' on rate cuts for the time being.
The aussie declined to 0.6810 against the greenback, 73.80
against the yen and 1.6259 against the euro, from its early highs
of 0.6831, 74.16 and 1.6214, respectively. The next possible
support for the aussie is seen around 0.66 against the greenback,
72.5 against the yen and 1.65 against the euro.
The kiwi eased to 69.50 against the yen, 0.6414 against the
greenback and 1.7263 against the euro, off its early high of 69.87,
more than a 2-week high of 0.6436 and a 6-day high of 1.7213,
respectively. The kiwi may challenge support around 66.00 against
the yen, 0.63 against the greenback and 1.75 against the euro.
The kiwi retreated to 1.0624 against the aussie, from an early
6-day high of 1.0608. Next immediate support for the kiwi is likely
seen around the 1.08 level.
Looking ahead, Canada CPI for October and the Fed minutes from
the October meeting are set for release in the New York
session.
AUD vs US Dollar (FX:AUDUSD)
Forex Chart
From Apr 2024 to May 2024
AUD vs US Dollar (FX:AUDUSD)
Forex Chart
From May 2023 to May 2024