AUD/USD retreats to 0.7750 area after US data
- AUD/USD is posting small daily losses in American session.
- Core PCE inflation in US rose to 1.8% (YoY) in March as expected.
- US Dollar Index clings to gains around 90.90.
The AUD/USD pair closed in the negative territory below 0.7800 on Thursday and seems to be having a difficult time staging a meaningful rebound on Friday. As of writing, the pair was down 0.07% on the day at 0.7757.
Earlier in the day, the data from Australia showed that Private Sector Credit in March increased by 0.4% and the Producer Price Index rose to 0.2% on a yearly basis in the first quarter, compared to analysts' estimate of 0.8%. These figures failed to trigger a noticeable market reaction. Additionally, PMI reports from China confirmed that the business activity in the private sector continued to expand at a modest pace in April.
DXY rebound continues on Friday
On the other hand, the US Bureau of Economic Analysis reported on Friday that the Core Personal Consumption Expenditures (PCE) Price Index climbed to 1.8% on a yearly basis in March as expected. Furthermore, the underlying details of the publication revealed that Personal Income surged by 21.1% in March.
The US Dollar Index preserved its bullish momentum after these data and was last seen gaining 0.3% at 90.90. In the meantime, Wall Street's main indexes opened deep in the negative territory and provided an additional boost to the USD. Later in the session, the University of Michigan will release its final Consumer Sentiment Index for April.
Technical levels to watch for