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AUD/USD: steady in to the closing hours post Chinese fix

FXStreet (Guatemala) - AUD/USD is currently trading at 0.7367 with a high of 0.7383 and a low of 0.7355.

AUD/USD is flat after an initial bid and then reversing the same pips to the downside on the release of Chinese fix today, with it strengthened by 0.05% at 6.3975 vs last close 6.3990. It seems that the PBoC is holding off for now on on continued devaluations and the Central Bank held a briefing yesterday in Beijing, where Deputy Governor Yi Gang was explicit describing reports stating that the PBoC wants to devalue the renminbi by 10% as “nonsense”. Meanwhile, the Aussie has been less volatile overnight, slightly softened by the US retails sales beating expectations ahead of CPI's and the FOMC minutes next week.

AUD/USD neutral and consolidated

AUD/USD is consolidating this weeks volatility and Karen Jones, chief analyst at Commerzbank explained that only a daily chart close above the 23.6% Fibonacci retracement at 0.7440 and the 0.7448 July 21 high will trigger a recovery towards the 0.7531 55 day moving average. 0.7235 is major support on further supply.

PBOC sets Yuan central parity at 6.3975 versus 6.4010 Thursday

On Friday, the Chinese central bank, PBOC, sets Yuan central parity at 6.3975 versus 6.4010 Thursday
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USD/JPY: Bulls unperturbed by Yuan fix, extends to 124.50

The bid tone surrounding the USD/JPY pair is picking-up pace in the Asian morning, as the US dollar remains supported against the Japanese yen following the latest China Yuan fix announcement which had negligible impact while markets continue to cheer the upbeat retail sales data from US.
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