AUD/USD bulls stay the course as US Dollar slides

The AUD/USD pair holds on positive performance despite risk aversion. The Australian economy expanded less than expected in the third quarter, so investors’ eyes are still on the economic data.

The AUD/USD pair is higher on the day having climbed from a low of 0.6668 and reaching a high of 0.6734 so far. News that authorities have loosened some of the country’s zero-COVID rules sparked a risk on mood in Asia that followed through into North American markets on Wednesday.

The US dollar has weakened amid concerns that rising interest rates could push the US economy into recession. Investors have cheered the news that China is preparing its people to live with the disease, although there are still fears that the US central bank might stick to a longer rate-hike cycle which is weighing on US equities on Wednesday.