The Australian dollar weakens as markets digest both the Judo and S&P PMI indexes

Aussie fell 0.27% to 0.6495 in Friday’s session.
Judo Bank’s mixed PMI data weighed on the AUD, with good activity in the industrial sector but tender activity in the services sector.
S&P PMI data from the US were robust.

The AUD/USD pair has fallen slightly below 0.6500 as the market focuses on the strength of the US dollar. The US Dollar Index (DXY) hit a two-year high above 108.00.

The outlook for AUD/USD is mixed, driven by the interplay of a hawkish Reserve Bank of Australia (RBA) and mixed local economic data. However, the potential for future RBA rate increases may limit this negative development, although the overall trend remains downwards.

Daily market update: Australian dollar loses ground against US dollar after solid S&P PMI data lifts dollar

The flash reading of the Australian judo banking industry PMI rose 2.1% to 49.4 in November. The Services PMI fell 1.4% to 49.6, while the Composite PMI fell 0.8% to 49.4.
In the United States, the Composite PMI rose 1.2% to 55.3 in November. The manufacturing PMI improved by 0.3% to 48.8 in November, while the services PMI increased by 2% to 57.
According to S&P Global, business sentiment in the US reached its highest level in two and a half years in November.
The U.S. dollar pared losses this week as investors reduced bets on the Fed cutting interest rates in December following hawkish comments from Fed Chairman Jerome Powell.
On the Australian side, the RBA could save the pair as the bank is reportedly considering interest rate increases.

AUD/USD Technical Outlook: Outlook remains bearish as indicators remain negative and pair struggles to rebound

The AUD/USD pair is struggling to recover, held back by negative technical indicators and the 20-day straightforward moving average (SMA). The relative strength index (RSI) remains deeply embedded in the bearish area below 30, indicating continued selling pressure. Similarly, the Moving Average Divergence (MACD) indicator displays red bars. These bearish signals suggest that the pair may continue to struggle to sustain a significant recovery in the near future.