For the 24 hours to 23:00 GMT, the AUD declined 0.1% against the USD and closed at 0.7841 on Friday.

LME Copper prices rose 1.3% or $80.0/MT to $6485.0/MT. Aluminium prices rose 0.4% or $8.0/MT to $2110.5/MT.

In the Asian session, at GMT0300, the pair is trading at 0.7822, with the AUD trading 0.24% lower against the USD from Friday’s close, after overnight data indicated that Australia’s AiG performance of manufacturing index fell to a level of 54.2 in September, compared to a reading of 59.8 in the prior month.

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Elsewhere in China, Australia’s largest trading partner, the NBS manufacturing PMI recorded an unexpected rise to a level of 52.4 in September, expanding at its fastest pace in five years. Markets were expecting the PMI to fall to a level of 51.6, compared to a reading of 51.7 in the prior month. Moreover, the nation’s non-manufacturing PMI rose to a level of 55.4 in September, after recording a level of 53.4 in the previous month.

Also, the nation’s Caixin/Markit manufacturing PMI eased to a level of 51.0 in September, compared to a reading of 51.6 in the prior month, while markets were anticipating the PMI index to ease to a level of 51.5.

The pair is expected to find support at 0.7808, and a fall through could take it to the next support level of 0.7794. The pair is expected to find its first resistance at 0.7845, and a rise through could take it to the next resistance level of 0.7868.

Going ahead, traders would closely monitor the Reserve Bank of Australia’s (RBA) interest rate decision, due in the early hours of tomorrow. Additionally, Australia’s HIA new home sales and building permits, both for August, slated to release overnight, will be on investors’ radar.

The currency pair is trading below its 20 Hr and 50 Hr moving averages.


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