Search ForexCrunch
  • AUD/USD falls for the third straight day on Thursday.
  • Broad-based USD strength continues to weigh on AUD/USD.
  • Weekly Jobless Claims and Services PMI data will be featured in US economic docket.

The AUD/USD pair, which closed the previous two days in the negative territory, extended its daily slide and dropped below 0.7300 as greenback preserves its strength ahead of key macroeconomic data releases from the US. As of writing, the pair was down 0.57% on a daily basis at 0.7296. 

DXY rally continues ahead of US data

Earlier in the day, the data published by the Australian Bureau of Statistics revealed that the trade surplus narrowed to 4,607 million AUD in August and missed the market expectation of 5,400 million AUD. This disappointing reading weighed on the AUD in the first half of the day.

Meanwhile, the broad-based USD strength caused the bearish pressure to remain intact. After gaining nearly 0.3% on Wednesday, the US Dollar Index (DXY) continues to edge higher and was last seen up 0.3% at 92.93.

Later in the day, the US Department of Labor will release its weekly Initial Jobless Claims data, which is expected to decline to 950K. Moreover, the IHS Markit and the ISM will both publish their Services PMI reports. 

Earlier in the week, the upbeat data releases from the US helped the USD erase the heavy losses it suffered against its major rivals last week. If today’s data arrive better than expected, the DXY could try to advance beyond 93.00 and force AUD/USD to push lower in the second half of the day.

Technical levels to watch for

 

Expert score

5

Etoro - Best For Beginner & Experts

  • 0% Commission and No stamp Duty
  • Regulated by US,UK & International Stock
  • Copy Successfull Traders
Your capital is at risk.