We have updated our privacy policy and terms & conditions. Find out more here.

Forex - AUD/USD drops to 3-week lows in cautious trade

ForexAug 28, 2013 06:54AM GMT Add a Comment
Share with a Friend
Thanks for sharing
Emails have been sent to:
To send more emails click here
Investing.com - The Australian dollar dropped to three-week lows against its U.S. counterpart on Wednesday, after the release of disappointing Australian data and as market sentiment was hit by ongoing tension in Syria.

AUD/USD hit 0.8904 during late Asian trade, the pair's lowest since August 5; the pair subsequently consolidated at 0.8905, declining 0.88%.

The pair was likely to find support at 0.8848, the low of August 5 and resistance at 0.9036, the high of August 25.

Official data showed that construction work done in Australia fell 0.3% in the second quarter, confounding expectations for a 1.6% increase, after a 1.9% decline in the three months to March.

Meanwhile, investors remained cautious amid growing expectations for U.S. military strikes against Syria’s government. U.S. Vice-President Joe Biden said Tuesday there is "no doubt" that the Syrian government used chemical weapons against civilians and added that it must be held accountable.

The greenback also found support as concerns over the timing of a reduction in Federal Reserve stimulus eased after data on Tuesday showed that U.S. consumer confidence rose more than expected in August, hitting the highest level since January 2008.

The Conference Board said its index of consumer confidence rose to 81.5 in August from an upwardly revised 81.0 in July. Analysts had expected the index to tick down to 79.0.

The Aussie was also lower against the euro with EUR/AUD gaining 0.78%, to hit 1.5022.

In the euro zone, data showed that the Gfk German consumer climate index ticked down to 6.9 in August from a reading of 7.0 the previous month. Analysts had expected the index to rise to 7.1 this month.

Later in the day, the U.S. was to release data on pending home sales.

Forex - AUD/USD drops to 3-week lows in cautious trade

Related Articles

Dollar remains broadly higher after upbeat U.S. data
Dollar remains broadly higher after upbeat U.S. data
By Investing.com - Mar 31, 2015

Investing.com - The dollar remained broadly higher against a basket of other major currencies on Tuesday, after data showed that U.S. consumer confidence re-approached the highest ...

Forex - USD/CAD off highs after Canadian GDP data
Forex - USD/CAD off highs after Canadian GDP data
By Investing.com - Mar 31, 2015

Investing.com - The U.S. dollar pulled back from session highs against the Canadian dollar on Tuesday after official data showed that the Canadian economy contracted in January, ...

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Are you sure you want to delete this chart?
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Are you sure you want to delete this chart?

Successfully Reported

Thank you. This comment has been flagged for a moderator.
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data .

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.