USD Trading Outlook (03-04-2015)

AUD/USD Increased chatter of an RBA rate cut combined with a new iron-ore trend low to weigh AUD/USD in Europe’s morning. The pair neared the 0.7550 barrier as NY got going. Early NY saw that barrier cleared as the USD was firm early on. The better than f/c US claims data then rallied the USD further. AUD/USD hit a low of 0.7534. The slide ran out of steam though as broad based USD sales (lead by EUR/USD’s rally) took hold. All early NY losses were erased and the pair went on to a 0.7612 high. Some of those gains were eroded though as AUD was heavy on the crosses. EUR/AUD rallied towards 1.4395 and AUD/NZD hit a new trend low of 1.0101. This had AUD/USD slip from its session high and sit near 0.7580 late in the day. The US jobs data is now the key risk tomorrow. A better than f/c result is likely to see AUD/USD’s bear trend go on to make new lows.