- AUD / USD is rising modestly ahead of Thursday’s key events.
- The US Dollar DXY index fluctuates within a narrow range near 90.30.
- The focus is on US data, Powell’s speech, and President-elect Biden’s stimulus plan.
The pair AUD/USD it posted modest losses on Wednesday and started to climb ahead of Thursday’s key events. At time of writing, the pair is up 0.35% on the day at 0.7764.
Focus shifts to Biden’s stimulus plan
The optimistic sentiment during the European session seems to be helping the AUD, sensitive to risk, to find demand. Later in the day, investors’ attention will turn to weekly data from initial jobless claims from the US Department of Labor for fresh momentum.
More importantly, Boston Federal Reserve Chairman Eric Rosengren, Atlanta Federal Reserve Chairman Raphael Bostic, and FOMC Chairman Jerome Powell will deliver speeches. Meanwhile, the US dollar index is practically unchanged on the day around 90.30.
Finally, President-elect Joe Biden is expected to announce the stimulus plan. Various media outlets reported Thursday that Biden will unveil a $ 2 trillion package that will include additional direct payments to Americans as well as significant funding to state and local governments.. During the Asian session of the jeuves, the yield on the US 10-year Treasury soared higher on hopes of stimulus. A similar reaction during Biden’s announcement could provide a boost to the US dollar and cause AUD / USD to turn lower.
On Friday, November’s home equity and home investment loan data is prominent on the Australian economic calendar.
AUD / USD technical levels