Search ForexCrunch
  • Durable Goods Orders in US fell 2% in November.
  • US Dollar Index stays above 97.70 after mixed data.
  • Trading activity is likely to remain subdued ahead of Christmas holiday.

After advancing to its highest level in 10 days at 0.6928, the AUD/USD pair lost its traction and was last seen trading at 0.6915, still adding 0.25% on a daily basis.

Heightened hopes of the US and China finalizing a trade deal following US President Trump’s upbeat commentary over the weekend helped the trade-sensitive antipodean currencies, such as the NZD and the AUD, gather strength at the start of the week.

USD stays strong ahead of Christmas

However, with the greenback continuing to find demand following Friday’s impressive performance made it difficult for the pair to preserve its bullish momentum.  

The US Dollar Index inched higher on Monday and touched its best level in more than two weeks at 97.82 before retreating slightly. As of writing, the index was up 0.05% on the day at 97.72. Today’s data from the US revealed that Durable Goods Orders in November declined 2% to miss the market expectation for an increase of 1.5% by a wide margin. However, Durable Goods Orders Excluding Defense rose 0.8% to help the USD stay resilient.

Additionally, the Federal Reserve Bank of Chicago’s National Activity Index improved to 0.56 in November to come in better than analysts’ estimate of -0.09. Later in the session, New Home Sales will be released from the US as well. Nevertheless, with Christmas holiday looming, the pair is unlikely to move out of its daily trading range.

Technical levels to watch for