Aussie Vs USD, the intense battle begins in the Forex market. The global risk has reached its peak. The rise in the prospect and possible upcoming positive scenario of global growth results in the fall of USD which ultimately leads to rise of the worth of AUD. The economic data of China also plays a vital role in increasing the value of AUD. Chinese economy is undoubtedly a crucial game changer for AUD/USD. The traders are waiting for positive news regarding the approval of vaccine of the terrifying pandemic to make further plans.
Chinese Economic Data and Aussie Vs USD:
Chinese economic data not only affects the AUD but also influences the value of NZD. New Zealand is the import destination of China thus a lot of Chinese capital goes to New Zealand. Therefore there is a clear cycle and a prominent link between these countries. So their currencies are also interlinked as well.
The Exports of Aussie:
China is the major export destination of the goods of Australia. A significant amount of money travels smoothly from China to Australia. About 33% exports of Australia make it way to Chinese economy. Obviously it reflects why it is so important for Aussie. Thus the economic data of China plays a vital part in the battle of Aussie Vs USD. Therefore a pandemic, a poor economic state or any factor influences the growth of Chinese economy. Such a state will eventually decrease the value of AUD. The business cycle of the entire world will be influenced.
Aussie is also enjoying gains against JPY as well. As compared to JPY, the moving averages are having upward trend. This pair is recently staying between 61.8% retracement points of Fibonacci. The value moves between the highest values of 2018 and the values of 2020. the gains and rising journey of Aussie also ensures the smooth flow of Aussie Vs USD.