FED: Gov Kugler: "Prudent" To Hold Rates "For Some Time"

AUDUSD trended lower through the European morning to a low of 0.6188 as the US dollar continued to strengthen following stronger-than-expected US data on Tuesday. The pair then turned moderately higher after softer ADP employment to finish the day down 0.2% to 0.6218 and one of the better performers in the G10. The USD index is 0.4% higher.

• AUDUSD held above support at 0.6179, December 31 low, yesterday but the trend remains bearish. The pair continues to post lower lows and lower highs. Initial resistance is at 0.6269, 20-day EMA.
• AUDJPY range traded on Wednesday to be flat on the day at 98.48 after a low of 98.05. AUDNZD trended higher through the European/US sessions to be up 0.2% to 1.1083. AUDEUR is unchanged at 0.6026 after a high of 0.6032, while AUDGBP rose 0.7% to 0.5028, back above the key 0.5000 level. GBP was the worst performer in the G10.
• Equities were mixed with the S&P up 0.2%, FTSE +0.1% but Euro stoxx down 0.3%. Oil prices were weaker with Brent down 1.1% to $76.19/bbl. Copper rose 1.8% and iron ore is just above $97/t.
• Today November retail sales and trade data are released. Retail spending is forecast to rise 1.0% m/m after 0.6% the previous month and the trade surplus is expected to narrow slightly.