CANADA DATA: Wholesales -0.2% In Dec Led By Machinery

• The strong performance for equities in the aftermath of the data has helped AUDUSD extend its recovery to 1.82% from cycle lows printed earlier in the week. The latest 45 pip bounce sees the pair pierce above initial 20-day EMA resistance, which intersects today at 0.6236.
• While a bearish trend remains intact overall, these favourable dynamics could prompt a stronger correction, targeting the 50-day average is at 0.6351.
• Rabobank have said that on the approach of Trump’s inauguration next week, the market has started to question if it has priced-in too much inflation risk into US assets. This suggests scope for profit-taking in USD long positions which could limit downside potential in AUD/USD near-term.
• Despite this, on anticipation that USD strength will be a theme of the year ahead and with Chinese economic headwinds still in focus, Rabo see risks of a move to 0.6000 in AUD/USD around the middle of 2025. 

European Commission and Eurosystem sources assess the inflationary risks stemming from gas prices.-On MNI Policy MainWire now, for more details please contact sales@marketnews.com

Schatz Block trade, suggest Buyer:

• DUH5 ~10.6k at 106.59.