Investing.com - The Australian dollar traded slightly higher against its U.S. rival during Monday’s Asian session amid looming uncertainty over what the Federal Reserve’s timetable is for tapering of its quantitative easing program.
In Asian trading Monday, AUD/USD inched up 0.03% 0.9030 after earlier trading as low as 0.9012. The pair is likely to find support at 0.8932, Thursday’s low and the lowest since August 7 and resistance at 0.9122, the high from August 20.
Last week, the Aussie came under pressure after the Reserve Bank of Australia said earlier in the week that further rate cuts remain possible in the future.
In the minutes of its latest policy meeting, the RBA said the Aussie's direction will be important in setting policy and signaled further interest rate cuts remain a possibility.
The Aussie got a modest boost last Friday amid some disappointing U.S. real estate data. In U.S. economic news out last Friday, the Commerce Department said new home sales dropped 13.4% last month to an annual rate of 394,000 units. That is the lowest reading in nine months. In July, the median price for a new home sale rose to $257,200, up from $237,400 in the same month of 2012, according to Reuters.
The early part of this week is light on marquee data points out of Australian that could impact the Aussie, but several pivotal data points are due out of the world’s 12th-largest economy from Wednesday onward.
Elsewhere, AUD/NZD inched up 0.04% to 1.1562 after Statistics New Zealand said the country’s trade balance fell to a seasonally adjusted NZD774 million last month from NZD414 million in June. Analysts expected a decline to NZD50 million last month.
AUD/JPY nudged down 0.02% to 89.10 while EUR/AUD fell 0.04% to 1.4818.
In Asian trading Monday, AUD/USD inched up 0.03% 0.9030 after earlier trading as low as 0.9012. The pair is likely to find support at 0.8932, Thursday’s low and the lowest since August 7 and resistance at 0.9122, the high from August 20.
Last week, the Aussie came under pressure after the Reserve Bank of Australia said earlier in the week that further rate cuts remain possible in the future.
In the minutes of its latest policy meeting, the RBA said the Aussie's direction will be important in setting policy and signaled further interest rate cuts remain a possibility.
The Aussie got a modest boost last Friday amid some disappointing U.S. real estate data. In U.S. economic news out last Friday, the Commerce Department said new home sales dropped 13.4% last month to an annual rate of 394,000 units. That is the lowest reading in nine months. In July, the median price for a new home sale rose to $257,200, up from $237,400 in the same month of 2012, according to Reuters.
The early part of this week is light on marquee data points out of Australian that could impact the Aussie, but several pivotal data points are due out of the world’s 12th-largest economy from Wednesday onward.
Elsewhere, AUD/NZD inched up 0.04% to 1.1562 after Statistics New Zealand said the country’s trade balance fell to a seasonally adjusted NZD774 million last month from NZD414 million in June. Analysts expected a decline to NZD50 million last month.
AUD/JPY nudged down 0.02% to 89.10 while EUR/AUD fell 0.04% to 1.4818.