AUD/USD (current price: 0.7759)
The Philly Fed Manufacturing Index came in much worse than expected at -1.8 signaling contraction yet again after two encouraging positive readings. U.S. Unemployment Claims on the other hand, declined to 247,000, pointing to a still healthy labor market in the country. AUD/USD finished the day 0.7% lower, but it still trades in a short-term advancing trend-channel, despite the recent mixed economic releases from Australia. The positive signs from the commodity markets might outweigh the overbought state of the pair.
Our assessment: The Aussie declined during the last two sessions, but the breakout to new highs is still intact, and the bullish reversal in the price of oil yesterday could help the currency higher today.
