By FX Empire.com
The AUD/USD pair dropped to its lowest level in seven weeks, as the US dollar increased sharply against most of its major counter parts after the FOMC minutes which fueled risk aversion in financial market.
The Australian dollar also lost momentum after the Chinese PMI data, which showed that the manufacturing sector in China is responding to the authorities’ tightening policies which cooled growth alongside slowing global economic growth.
China is considered the biggest trade partner for Australia, the PMI data reflected negatively on the performance of Aussie which continued to decline versus the dollar.
Expectations remain for further losses for the AUD/USD pair, as the current market sentiment remains bearish amid heightened fears.
Both economies will not release any data on Thursday, where the pair’s movements will depend on the current market sentiment and the volume will be low with limited movement with the absence of U.S. markets for Thanksgiving holiday which will increase the volatility.
Originally posted here
