AUD/USD Trades to 2025 High After U.S. Jobs Revisions, Soft PPI
AUD/USD rates are testing their year-to-date highs around 0.6625.
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AUD/USD is advancing on Wednesday, nudging above 0.6610 amid a softer U.S. dollar driven by growing optimism around Federal Reserve rate cuts. Investors are betting the Fed will deliver a 25-bps reduction next week, with growing expectations of a 50-bps move. Weaker than expected U.S. jobs revisions yesterday and a PPI reading that went into negative territory month-over-month is keeping pressure on the greenback. Rebounding metals and energy prices are likewise propping up AUD/USD rates.

The above chart shows that, technically, AUD/USD have traded into key resistance, the 2025 high carved out in July at 0.6625. Bullish momentum is firming up, with Slow Stochastics extending into overbought territory and daily MACD rising to its highest levels since early-July. A move into new highs could increase the possibility of a retest of the November 2024 swing high at 0.6788.