AUD/USD opens the week on the wrong footing, eyes 0.6300 once again. US Dollar jumps on safe-haven demand as Middle East military conflict rattles market. All eyes now remain on geopolitical tensions and US CPI data this week. AUD/USDis falling hard toward 0.6300 in early Asian trading on Monday, having faced rejection at 0.6400 in the aftermath of the US Nonfarm Payrolls data on Friday.
Markets remain worried over the potential impact of the renewed Oil price surge on global inflation and growth outlook, especially at a time when central banks are still reeling from the pain induced by Russia’s invasion of Ukraine, back in early 2022. Fresh developments around the Middle East conflict will be closely followed for further impact on the safe-haven US Dollar and, in turn, on riskier assets such as equities, Australian Dollar, etc.