Heavy dollar purchases continue
A sour mood in the market continues to weigh on the Australian dollar and it is now testing August lows. Talks about the RBA rate cuts really turned the tide after Westpac pushed for a cut.
AUD / USD is down 77 pips to 0.7093 and the August low was 0.7076. Just below, the late July low was 0.7064.
To me, this looks more and more like a larger retracement of the US dollar. We’re getting to the point where dollar shorts are starting to feel the pressure.