The Aussie opened lower this morning holding onto 72 cents after reaching 0.7220 overnight. The local currency traded as low as 0.7170 late in the session before recovering to open at 0.7203. The Aussie also managed to hold its ground on the cross rates finishing down against the Euro but steady against all the other major currencies. Australian Employment figures were released yesterday with most market players expecting with most market players expecting an increase between 20,000 and 25,000. At 1130AEST the ABS announced that in the month of June, there was actually a fall of 3,800 jobs. Local traders sold the Aussie immediately sending it down to 0.7180 during yesterdays trade. Overnight the greenback had a quiet night losing ground despite positive data. The weekly Jobless Claims came in at 310,000 down from 349,000. This 4-year low failed to impress the market as the greenback continued its recent course south. Net week will test the Aussie dollar as it attempts to maintain its current levels. Signs that the short-to-medium term bear trend has ended are still needed to swing market consensus. Consolidation above 72 cents is the first major sign of recovery. Failure to hold this market could send the AUD back towards the 68 cent level seen in both May and June.
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