The post AUD/USD faces some selling pressure below 0.6750 on weaker Chinese data, geopolitical risks appeared on BitcoinEthereumNews.com.

AUD/USD loses traction to near 0.6730 in Monday’s early Asian session. The weaker Chinese economic data undermines the China-proxy AUD.  The US PPI supports expectations of a Fed rate cut next month. The AUD/USD pair attracts some sellers to around 0.6730 and during the early Asian session on Monday. The stronger US Dollar (USD) and China’s deflationary pressures exert some selling pressure on the major pair. Traders will take more cues from the Chinese Trade Balance data, which is due later on Monday.  The weaker-than-expected China’s consumer and factory prices for September weigh on the Australian Dollar (AUD) as China is a major trading partner to Australia. Data released by the National Bureau of Statistics of China on Sunday showed that the nation’s Consumer Price Index (CPI) increased 0.4% YoY in September, compared to 0.6% in August. This figure was below the market consensus of 0.6%. Meanwhile, the Producer Price Index (PPI) fell 2.8% YoY in September versus -1.8% prior, weaker than the expectations of -2.5%.  On the other hand, US PPI data reinforces expectations for a 25 basis points (bps) Federal Reserve (Fed) rate cut in November, which might cap the upside for the Greenback. The US PPI was unchanged in September, while the core PPI was up 0.2% during the same period.  The annual PPI rose 1.8% in September, followed by the 1.9% increase seen in August, and came in above the market expectation of 1.6%. The annual core PPI rose 2.8% in the same period, surpassing analysts’ estimate of 2.7%. The swaps markets show the Fed’s odds for a 25 bps rate cut at 95.6%, up from 83.3% before the PPI data, according to the CME FedWatch Tool.  Israel Defence Forces (IDF) said on Sunday that four soldiers had been killed and more than 60 other people injured in a…

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Filed under: News - @ October 13, 2024 11:11 pm