AUSTRALIA NOV EMPLOYMENT +39.9K S/ADJ (REUTERS POLL: +14.0K)
AUSTRALIA NOV UNEMPLOYMENT RATE +5.2 PCT, S/ADJ (REUTERS POLL: +5.3)
AUSTRALIA NOV FULL TIME EMPLOYMENT +4.2K S/ADJ
AUSTRALIA NOV PARTICIPATION RATE +66.0 PCT, S/ADJ (REUTERS POLL: +66.0 PCT)
Following the latest set of the Reserve Bank of Australia’s minutes, today’s labour force data took up a special focus considering the next Gross Domestic Product is not due until March.
The highlight in the RBA minutes was that members had “agreed that it would be important to reassess the economic outlook in February 2020.” This has lead to the suspicion that such a reassessment could end up in a rate cut if, what the “gentle turning point” as identified by the RBA is still evident. We have also seen a fall in the weaker-than-expected third-quarter Gross Domestic Product as well as Retail Sales.
This report will have been closely watched in respect to the RBA’s 4 February policy decision and raises the bar for a rate cut so soon as Feb. Markets were pricing a 60% chance of easing at the Feb RBA meeting, and a terminal rate of 0.41% (RBA cash rate currently at 0.75%).
AUD/USD daily chart
Support levels: 0.6830 0.6800 0.6770
Resistance levels: 0.6865 0.6900 0.6935
The AUD/USD pair is technically bearish according to the 4-hour chart, as an intraday attempt to recover ground was rejected by sellers aligned around a bearish 20 SMA. Technical indicators in the mentioned chart head lower within negative levels, in-line with a bearish extension, particularly if the pair breaks below 0.6830, the immediate support.
Valeria Bednarik, the chief Aanlyst at FXStreet explained.
View Live Chart for the AUD/USD
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