- AUD / USD makes a decisive recovery early in the American session.
- The US Dollar Index falls to the 90.50 zone after the US data.
- The major Wall Street indices appear to be opening higher.
After falling to its lowest level in nearly a month at 0.7592 during European trading hours on Thursday, the pair AUD/USD took a U-turn early in the US session and erased a large part of its daily losses. At time of writing, the pair lost 0.28% on the day at 0.7642.
Risk flows return after optimistic US data
A positive change observed in market sentiment appears to be providing a boost to AUD / USD by affecting the dollar.
Data released by the US Bureau of Economic Analysis on Thursday showed that US economic activity expanded 4% annually in the fourth quarter as expected. Additionally, the Labor Department reported that initial jobless claims decreased by 67,000 to 847,000 last week.
Finally, the monthly publication of the US Census Bureau revealed that the trade deficit narrowed by $ 3 billion to $ 82.5 billion.
Reflecting improving market sentiment, the S&P 500 Futures gained traction and was last seen gaining 0.65%. Meanwhile, the US dollar index, which hit a daily high of 90.86, posted small losses at 90.57.
Later in the session, new home sales data will be included on the US economic agenda. On Friday, Australian producer price index and private sector credit data will be analyzed for new catalysts. .
Technical levels
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