Aussie extends losses against greenback

The Australian dollar fell during the Asian session reflecting its rebound for the fourth session in a row since its highest in February 21st compared to the US dollar due to the Australian economic data that we have followed earlier and in accordance with today anticipated U.S. Economy developments and economic data.

AUD/USD pair fell 0.13% to 0.7085 compared to the opening rates at 0.7109 which is the pair’s highest during the session, while the pair reached a low of 0.7080.

 Also we’d like to note that the pair concluded last week’s trading at 0.7077 before opening this week on a rising price gap.

We also followed the Australian economy reveling primary data for the labor market with the announcement of the job index readings, which showed a decline to 0.9% compared to 1.8% in January, This came before the CPI reading by the Melbourne Institute (MI), which showed a 0.1% gain compared to 0.1% decline in January.

Reaching the Australian housing market data and the construction permits readings showing a rise of 2.5% compared to a decline of 8.1% on last December, Exceeding the expected rise of 1.5%.

While the annual readings of the same index showed a decline of 26.6% compared to 22.0% unlike the expectations of a 28.9%.

Besides, markets are anticipating the reserve Bank of Australia’s decision on interest rates and the Australian central bank statement on the same subject tomorrow, amid expectations that interest rates will hold steady at 1.50% at the 28s policy meeting, ahead of Wednesday’s speech by the the Reserve Bank’s governor Philip Lowe, titled “Housing and Economy Market” at the Australian financial Action Summit in Sydney.

On the other hand, investors are currently looking for the US’ economy to release a reading of the construction spending index, which may reflect a slowdown in growth to 0.2% compared to 0.8% in November. Fed Governor Jerome Powell announced last weekend that The US economy is in a good position and the Fed will be quiet and watch for economic risks in the coming period.

In his speech at the New York “Citizens Committee” on Friday, Powell said “the recent signs of inflationary pressures are on the rise and the Federal Reserve will take appropriate measures to boost labor market participation and productivity" , Explaining that the recent rise in productivity opens the way for higher wages but without igniting inflation.