AUD/USD soars over 2% on Sino-Australian news, 0.6900 and US data eyed
- AUD/USD is rallying hard, eyeing 0.6900 amid USD sell-off, upbeat mood.
- China is considering a partial end to the Australian coal ban.
- US ISM PMI and Fed Minutes to offer fresh cues to the Aussie.
AUD/USD is riding the risk-on wave higher so far this Wednesday, extending the rebound by over 2% amid a broad sell-off in the US Dollar and the renewed China-Australia trade optimism.
The Aussie caught this relentless bid only after several media reported that China is considering a partial end to its ban on imports of Australian coal. The positive sentiment in the European markets only added to the upsurge in the higher-yielding Aussie Dollar at the expense of the safe-haven US Dollar.
Traders also take advantage of encouraging Reserve Bank of Australia (RBA) thinking, cited by MNI. The report said, “the Reserve Bank of Australia (RBA) believes that “accumulated savings, a tight jobs market and spending cuts will make higher interest rates manageable for most homeowners.”
Next of relevance for the AUD/USD pair remains the US ISM Manufacturing PMI release and the Fed December meeting, which could have a significant impact on US Dollar valuations, eventually influencing the currency pair.
AUD/USD: Technical levels to consider