AUD/USD seesaws near the nine-day high. Fed delivered a surprise/shock rate cut of 50 bps, emergency funding bill is also on the cards. RBA announced a 0.25% rate cut with Aussie PM Morrison ready for fiscal measures to counter coronavirus risk. Aussie Q4 GDP, China Caixin Services PMI and US data will decorate the economic calendar. Following its run-up backed by Fed’s surprise rate cut, AUD/USD retraces to 0.6600 at the start of Wednesday’s Asian session. The RBA’s 0.25% rate cut couldn’t deter the Aussie pair buyers as the Fed delivered a 0.50% surprise cut. The market focus now turns to Australia’s fourth quarter (Q4) GDP while coronavirus (COVID-19) headlines can keep offering intermediate headlines. After all, the Fed is a whale… With its emergency 50 basis points (bps) rate cut, the US Federal Reserve triggered moves against the US dollar. The greenback weakness gained another support with US President Donald Trump staying ready for a coronavirus spending bill worth $8.5 billion. The Fed’s move was the first since 2008 that superseded the RBA’s 0.25% rate cut announced during the early Tuesday. Coronavirus fears prevail… If someone expected wilder moves following the Fed’s shock rate cut, the reason to blame is the market’s worry concerning the COVID-19. The pandemic is spreading faster in the US, with 9 deaths and 27 confirmed cases, whereas the rest of the world, excluding China, has also registered a sharp increase in coronavirus cases. While portraying a mix of market’s risk-off and an ex-USD move, the US 10-year treasury yields slumped to the fresh record low near 1.0% whereas Wall Street benchmarks failed to cheer the Fed’s rate cut. It’s worth mentioning here that today’s Aussie Q4 GDP, expected 0.3% QoQ versus 0.4% prior, can open the doors for further stimulus from Australia, after RBA’s rate cut. The reason can be traced from Aussie PM’s signal to take fiscal measures on Tuesday. Other than that, the US services PMIs will also be the key to watch. Technical Analysis Despite rising to nine-day high, the AUD/USD pair still lags below a 21-day SMA level of 0.6650, not to forget the early February low surrounding 0.6600, which limit the pair’s short-term upside. As a result, the bears can look for a sub-0.6500 move in the case of disappointments. 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 New German guidelines classify crypto as “financial instruments” FX Street 3 years AUD/USD seesaws near the nine-day high. Fed delivered a surprise/shock rate cut of 50 bps, emergency funding bill is also on the cards. RBA announced a 0.25% rate cut with Aussie PM Morrison ready for fiscal measures to counter coronavirus risk. Aussie Q4 GDP, China Caixin Services PMI and US data will decorate the economic calendar. Following its run-up backed by Fed’s surprise rate cut, AUD/USD retraces to 0.6600 at the start of Wednesday’s Asian session. The RBA’s 0.25% rate cut couldn’t deter the Aussie pair buyers as the Fed delivered a 0.50% surprise cut. The market focus now turns… 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.