AUD/USD sees little action post-China inflation data release. The PPI fell more than expected in February while CPI growth missed estimates. Fed rate cut bets and potential risk recovery may bode well for the Aussie. AUD/USD remains sidelined near session lows after a below-forecast China inflation data. The Producer Price Index fell by 0.4% year-on-year in February versus expectations for a 0.3% drop and down from the previous month’s 0.1% reading. Meanwhile, the Consumer Price Index rose 5.2% as expected, following January’s 5.4% rise. The data hit the wires at 01:30 GMT, but so far, it has failed to move the needle on the Aussie dollar, a proxy for China. The AUD/USD pair fell from 0.6613 to 0.6573 ahead of the inflation data and was last seen trading around 0.6580. The Aussie dollar is showing resilience to below-forecast PPI or factory-gate prices, as the deterioration was expected due to coronavirus outbreak. The market seems to have priced in much of the bad news on the China front and is currently focused on developments in the US. The Federal Reserve is expected to cut rates by 50 basis points next week, as financial conditions have deteriorated to levels last seen in 2009. As a result, the AUD/USD pair could find bids, more so, as the S&P 500 futures are currently reporting over 1% gains. However, if the stocks extend Monday’s decline, the pair could feel the pull of gravity. Technical levels FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next Bank of Japan governor Kuroda has said that global markets are making very unstable movements FX Street 3 years AUD/USD sees little action post-China inflation data release. The PPI fell more than expected in February while CPI growth missed estimates. Fed rate cut bets and potential risk recovery may bode well for the Aussie. AUD/USD remains sidelined near session lows after a below-forecast China inflation data. The Producer Price Index fell by 0.4% year-on-year in February versus expectations for a 0.3% drop and down from the previous month's 0.1% reading. Meanwhile, the Consumer Price Index rose 5.2% as expected, following January's 5.4% rise. The data hit the wires at 01:30 GMT, but so far, it has failed to… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
