AUD/USD extends its downside trend to 0.6660 on a dismal market mood. US political uncertainty and PBoC’s surprise rate-cut decision dampen investors’ risk appetite. The US Dollar will dance to the tunes of the US economic data. The Aussie asset slides further to near 0.6660 as cautious market sentiment weighs heavily on Asia-Pacific currencies and equities of the world’s largest continent.
Meanwhile, the US Dollar edges lower due to deepening political uncertainty. The US Dollar Index , which tracks the Greenback’s value against six major currencies, falls slightly to 104.20. This week, the US Dollar will be guided by a slew of US economic data. Top-tier economic data such as Q2 Gross Domestic Product and the Personal Consumption Expenditure Price Index for June will provide cues about when the Federal Reserve will start reducing interest rates this year.