Fed Chair Bernanke Set to Speak; Comments Could Be Source of Volatility
By Joel Kruger, Technical Strategist
09 febrero 2011 12:45 GMT
There really isn’t all that much to talk about since the North American close with currencies continuing to consolidate their latest moves and waiting for the next big catalyst to spark some fresh volatility. While the news of the China rate hike did manage to weigh on the Australian Dollar a bit, the currency remained relatively well bid against the Greenback on some solid commodities demand. However, we continue to see downside risks for the Australian Dollar going forward as economic fundamentals begin to weigh more heavily. Although overnight consumer confidence readings were improved, any positive reaction from this data has been easily offset by the weaker than expected China services PMIs. AUD/USD has subsequently broken below 1.0100 which could start to accelerate declines.