Trade Deficit Widened More-Than-Expected In Australia

Trade Deficit Widened More-Than-Expected In Australia

For the 24 hours to 23:00 GMT, AUD strengthened 0.15% against the USD to close at 1.0511.

LME Copper prices declined 0.4% or $30.3/MT to $7995.3/MT. Aluminium prices declined 2.5% or $50.8/MT to $2004.8/MT.

In the Asian session, at GMT0400, the pair is trading at 1.048, with the AUD trading 0.30% lower from yesterday’s close, following a weaker-than-expected Australian trade balance data.

This morning in Australia, the seasonally adjusted merchandise trade deficit widened A$2.637 billion in November, wider than the expectations for a deficit of A$2.300 billion and following the downwardly revised deficit of A$2.443 billion in October. Separately, Australia’s AiG construction index rose to a reading of 38.8 in December, from a reading of 37.0 in November.

The pair is expected to find support at 1.0459, and a fall through could take it to the next support level of 1.0439. The pair is expected to find its first resistance at 1.0509, and a rise through could take it to the next resistance level of 1.0538.