OIL: Crude Stocks Continue Building

AUD/USD got to fresh cycle lows of 0.6140 on Friday in the aftermath of the stronger than expected US NFP data. We track slightly higher in early Monday dealings, last near 0.6150, after losing 0.80% for Friday's session to be among the worst G10 performers. Only JPY rose against the USD for Friday's session. The USD BBDXY index got to fresh highs above 1320. 

• For AUD/USD technicals, the bears remain in control. Round figure support at 0.6100 will be eyed, while 0.6045 and 0.5994 are projections level of the Sep 30 - Nov 6 - 7 price swing. Initial firm resistance to monitor is 0.6257, 20-day EMA. The 50-day EMA is at 0.6374. The pair was last sub 0.6000 during the onset of the Covid pandemic in 2020, we saw lows of 0.5510 before support emerged.
• US yields were stronger across the board post the US NFP beat, the 10yr rising to 4.76%, the 2yr 4.38%, in terms of Tsy yields. Fed rate cut expectations were also tempered further.
• The US real 10yr yield rose to 2.34%, fresh highs back to 2023, and was a headwind for US equity market sentiment. The SPX fell 1.54%. AUD/JPY fell sub 97.00, but tracks just above 97.00 in early Monday dealings, still within recent ranges back to Dec last year.
• The aggregate commodity index rose 2.04% per BBG (aided by oil after fresh US oil sanctions on Russia boosted crude), the base metals up nearly 0.80%, but this didn't help the A$ too much.
• Today on the data front we have the Melbourne Institute Inflation gauge and ANZ job adverts. On Thursday we get Dec jobs data.