Forexpros – The Australian dollar was lower against its U.S. counterpart on Thursday, as data showed that inflation expectations for August declined in Australia, while investors remained cautious ahead of the release of U.S. economic data later in the day.
AUD/USD hit 1.0475 during late Asian trade, the daily low; the pair subsequently consolidated at 1.0478, falling 0.26%.
The pair was likely to find support at 1.0405, the low of April 30 and resistance at 1.0572, the high of August 13.
The Melbourne Institute said that inflation expectations for August ticked down to 2.4%, from 3.3% the previous month.
Meanwhile, the greenback remained supported as a string of globally positive U.S. data over the week lowered expectations for fresh easing measures by the Federal Reserve.
Official data on Wednesday showed that industrial production in the U.S. rose by 0.6% in, beating expectations for a 0.5% increase and following a 0.1% rise the previous month.
Earlier in the week, a report showed that U.S. retail sales snapped four successive months of declines in July, jumping 0.8%, surpassing expectations for a 0.3% increase.
Investors were eyeing additional U.S. economic reports to be released later in the day, for further indications on the strength of the country’s economic recovery.
Elsewhere, the Aussie was steady against the euro with EUR/AUD easing up 0.01%, to hit 1.1701.
Later in the day, the U.S. was to publish official data on building permits, as well as weekly government data on unemployment claims. The country was also to release official data on housing starts and a report on manufacturing activity in the Philadelphia area.
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