The Aussie is quite unsteady. Overview for 10.03.2020
Yesterday, AUDUSD updated its all-time lows; later it managed to recover a little bit, but still remains under pressure.
On Tuesday morning. the Australian Dollar recovered a bit against the USD but is still looking very insecure. The current quote for the instrument is 0.6550.
Yesterday, the Aussie updated its all-time lows against the USD and tested 0.6310 – is seems like the national currency has never been so cheap. This decline is the result of financial panic that “flooded” global markets yesterday. After the collapse of OPEC+ and considering the lack of any distinct economic prospects relating to the oil extraction, investors all over the world started avoiding risks and switching to “safe haven” assets. As a result, the Aussie got under pressure, just like a lot of other traded currencies.
By now, AUDUSD has recovered a little bit but the long-term downtrend is still dominating.
The statistics published in the morning showed that the NAB Business Confidence in Australia dropped to -4 points in February after being -1 point in the previous month. However, it was difficult to expect any different after forest fires this winter and the current coronavirus outbreak.
As for the numbers from China, the CPI showed 5.2% y/y in February, the same as expected, after being 5.4% y/y the month before.