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AUD/USD Near Three-Year Lows

Published 07/01/2013, 03:44 AM
Updated 02/21/2017, 08:25 AM
AUD/USD
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The dollar was broadly firm at the beginning of the week as traders greeted the start of a new quarter that could see the U.S. Federal Reserve beginning to wind down its stimulus, even as other major central banks are expected to maintain their super-easy monetary policy.

The Australian dollar touched near three-year lows versus the U.S. dollar, though it managed to stage a modest comeback in the wake of a less dire-than-expected reading on China's manufacturing sector.

Friday's report on U.S. payrolls will be even more critical than usual as a upside surprise would only fan speculation about an early start to tapering by the Federal Reserve, likely lifting both Treasury yields and the dollar.

The European Central Bank and the Bank of England have policy meetings on Thursday and the former is likely to emphasize that the Eurozone economy is in a much different stage of recovery than the United States.

FinFX Daily Market Outlook: https://www.finfx.fi/en/daily-market-outlook-01072013
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