The Aussie was pinned at $0.6411, having shed 1.3% for the week so far to hit a nine-month trough of $0.6365. There is little in the way of chart support until $0.6273, ahead of its 2022 low at $0.6170.
Earlier this week, the US received encouraging economic indicators. However, analysts are considering the pros and cons as Chinese growth also beat expectations.
Federal Reserve Chair Jerome Powell's much-anticipated speech was noncommittal on the precise timing of the Fed's bond tapering, unlike earlier remarks by several regional Fed presidents who wanted tapering to start soon
TOKYO: The International Monetary Fund offered a more upbeat view on Tuesday on Asia s economic outlook than six months ago, but warned a faster-than-expected rise in US interest rates could disrupt markets by triggering capital outflows from the region.
While Asia is rebounding from last year s slump caused by the COVID-19 pandemic, there is a divergence between nations benefitting from surging global demand and those reliant on tourism, said Jonathan Ostry, deputy director of the IMF s Asia and Pacific Department. Setbacks in the vaccine rollout, questions about the potency of the vaccine against new variants of the disease, and a resurgence of the virus, together constitute a key downside risk, Ostry told an online briefing.