The AUD/USD pair fluctuated with the beginning of the week, where the Australian dollar had the second best performance against the dollar after the Kiwi, while the latest EU crisis reduced demand for the Aussie.
Standard & Poor’s downgraded nine countries from the euro zone including France and Italy, which fueled concerns over the outlook for the global economy and forced higher-yielding currencies to retreat.
On the other hand the Australian dollar is waiting for the employment data from the Australian economy this week, where expectations refer to further weakening in the employment sector which could force the RBA to take further action to support demand.
We need to watch the Chinese GDP figures early on Tuesday as the economy is expected to have weakened the most in ten quarters and such weak data or even worse than expectations will have a strong bearish impact on Aussie.
On Tuesday, the U.S. Empire Manufacturing for January will be released at 13:30 GMT, where the previous reading was 9.53 and expected to improve to 10.50.
Originally posted here
