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AUD/USD struggles to cross the 0.6350 hurdle, Aussie Inflation/US GDP in focus

  • AUD/USD has faced barricades around 0.6350 amid China’s Jinping-infused pessimism.
  • A fourth consecutive 75 bps rate hike by the Fed looks likely.
  • Fears of recession in the US economy have accelerates as US Yellen cited that the one cannot be ruled out.

The AUD/USD pair surrendered its pullback move to near 0.6350 in the Tokyo session. China’s Jinping-infused pessimism is weighing pressure on the aussie dollar. The risk-on impulse is still solid despite a minor fall in S&P500 futures after back-to-back bullish settlements. Meanwhile, the US dollar index (DXY) is attempting to recapture the critical hurdle of 112.00 after a subdued opening in Tokyo.

The 10-year US Treasury yields have trimmed to 4.21% amid a positive market sentiment. The chances for a fourth consecutive 75 basis point (bps) rate hike by the Federal Reserve (Fed) stand at 95%, according to the CME FedWatch tool.

A Reuters poll on…

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