- AUD/USD extended its slide to fresh daily low in early American session.
- US Dollar Index rose above 90.70 ahead of Wall Street’s opening bell.
- Investors await February UoM Consumer Sentiment Index data.
The AUD/USD came under renewed bearish pressure in the early American session and dropped to a fresh daily low of 0.7218. As of writing, the pair was down 0.35% on a daily basis at 0.7222.
DXY continues to push higher on the back of rising T-bond yields
In the absence of significant macroeconomic data releases, rising US Treasury bond yields continue to impact the USD’s market valuation.
At the moment, the 10-year US T-bond yield is up nearly 2% on the day at 1.19% and stays within a touching distance of the 11-month high it set at 1.2% last week. Meanwhile, the US Dollar Index (DXY), which tracks the greenback’s performance against a basket of six major currencies, is up 0.32% on the day at 90.71.
Later in the session, the University of Michigan’s preliminary Consumer Sentiment Index will be looked upon for fresh impetus.
On the other hand, the S&P 500 Futures are down 0.3% minutes ahead of the opening bell, suggesting that the USD could preserve its strength in the second half of the day and made it difficult for AUD/USD to stage a rebound. Despite the daily decline, the pair remains on track to post small gains for the week.
Technical levels to watch for
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