Back
4 Feb 2015
AUD/USD rebounds on Chinese infrastructure stimulus
FXStreet (Mumbai) - AUD/USD extended gains in the early European morning, rebounding from fresh five and a half year lows reached in the previous session after RBA’s rate cut decision.
Regains 0.7800
Currently, the AUD/USD edged 0.36% higher and trades at 0.7820 levels, having previously clocked day’s high at 0.7847 levels. The Aussie rebounded sharply on reports that 14 Chinese provinces are planning over USD2.4 trillion investments in infrastructure investment to stimulate the economy, starting in 2015. China is Australia’s top trading partner.
Moreover, RBNZ Wheeler’s dovish statement in the early Asian hours and yesterday upbeat Fonterra's GDT Price report boosted the kiwi, which also added to the gains in AUD/USD. Furthermore, recovery seen in precious metals, oil and copper prices also supported the upside in the Aussie.
AUD/USD Technical Levels
The pair has an immediate resistance at 0.7853 levels, above which gains could be extended to 0.7880 levels. On the flip side, support is seen at 0.7754 from here it to 0.7717 levels
Regains 0.7800
Currently, the AUD/USD edged 0.36% higher and trades at 0.7820 levels, having previously clocked day’s high at 0.7847 levels. The Aussie rebounded sharply on reports that 14 Chinese provinces are planning over USD2.4 trillion investments in infrastructure investment to stimulate the economy, starting in 2015. China is Australia’s top trading partner.
Moreover, RBNZ Wheeler’s dovish statement in the early Asian hours and yesterday upbeat Fonterra's GDT Price report boosted the kiwi, which also added to the gains in AUD/USD. Furthermore, recovery seen in precious metals, oil and copper prices also supported the upside in the Aussie.
AUD/USD Technical Levels
The pair has an immediate resistance at 0.7853 levels, above which gains could be extended to 0.7880 levels. On the flip side, support is seen at 0.7754 from here it to 0.7717 levels