The AUD/USD is back below 0.74, currently testing near-term support at 0.7385 after a bullish showing on Tuesday for the US Dollar.
The latest showing from the Reserve Bank of Australia (RBA) showed the central bank leaning towards an upwards interest rate hike, but only if key economic indicators for the Australian economy continue to improve, and rising trade tensions are keeping the RBA in a dovish stance, and markets are continuing to price in the odds of a rate hike from the Assie central bank not happening until far into the future.
Meanwhile, the US Fed's Jerome Powell struck a decidedly hawkish tone, talking up the US economy's growth potential, while also downplaying inherent risks from trade frictions with China, sending the US Dollar higher and forcing down Gold prices, dragging the Aussie lower through Tuesday's action.
AUD/USD levels to watch
The Aussie has once again softened against the Greenback as metals prices get forced down by an optimistic market.
Support levels: 0.7370 0.7335 0.7310
Resistance levels: 0.7410 0.7450 0.7490
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