The Australian dollar today rallied higher against the US dollar to lift the AUD/USD currency pair to new heights after the release of positive employment data for March. The Australian dollar’s rally lasted throughout the European session and only abated after the opening of the American session as the US dollar rallied higher.
The AUD/USD currency pair rallied to new daily highs as it extended a rally that began yesterday as the markets anticipated positive Australian employment data.
The release of the positive employment data for March by the Australian Bureau of Statistics extended the currency pair’s rally as the report indicated that Australia added 60,900 jobs to its workforce in March, versus the expected 20,000. The report also indicated that the country added 74,500 full-time jobs and was a confirmation of previous employment data, which had indicated that the Australian labour market was rapidly expanding.
Given that the Reserve Bank of Australia had indicated that it would have more confidence in the economy if the labour market improved, today’s report might cause the RBA to change its outlook. The currency pair retraced some of its gains during the North American session as the greenback rallied higher boosted by the positive results of the University of Michigan confidence index.
The AUD/USD currency pair is likely to be influenced by the US consumer price index for March, which is scheduled for release tomorrow.
The AUD/USD pair was trading at 0.7585 as at 16:13 GMT having opened the day’s session trading at 0.7528. The AUD/CAD was trading at 1.0068 having opened the day’s session trading at 0.9969.
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