By FX Empire.com
The AUD/USD pair dropped last week to its lowest level in five weeks, as the greenback soared against most of its major counterparts due to risk aversion that controlled the financial market recently.
Aussie lost momentum after the Reserve Bank of Australia lowered the interest rate and indicated that they will keep the rate at those levels till the end of the year, which reduced demand for the Australian currency.
The Chinese economy also reduced demand on raw materials from Australia, as a result of their policy to cool down the economy in order to fight the current inflation pressure, which affected negatively on the Australian economy that is considered China’s biggest trade partner.
On Monday at 15:00 GMT, the U.S. economy will release the Existing Home Sales for October, where it’s expected to come at 4.80 million down by 2.2% from the previous reading of 4.91 million which is down by 3.0%.
Originally posted here
