Australian And NZ Dollars Drop Amid Rising Risk Aversion

The Australian and NZ dollars fell against their major counterparts in the Asian session on Friday amid rising risk aversion, as Gilead's antiviral drug for the coronavirus flopped in its first randomized clinical trial.

But Gilead Sciences said that study was terminated early due to low enrollment and the study results were inconclusive.

Rising death toll from the coronavirus outbreak further dampened sentiment.

The death toll from the novel coronavirus rose to 190,000 worldwide, according to U.S.-based Johns Hopkins University.

The aussie declined to 0.6337 against the greenback and 68.21 against the yen, from its early highs of 0.6382 and 68.71, respectively. The aussie is likely to challenge support around 0.60 against the greenback and 65.00 against the yen.

The aussie edged down to 1.6979 against the euro and 0.8935 against the loonie, pulling away from its early highs of 1.6889 and 0.8976, respectively. The next possible support for the aussie is seen around 1.80 against the euro and 0.88 against the loonie.

The aussie pared gains to 1.0598 against the kiwi, from a high of 1.0622 logged at 8:15 pm ET. If the aussie falls further, it is likely to test support around the 1.04 region.

The kiwi dropped to 0.5976 against the greenback, 64.32 against the yen and 1.8000 against the euro, after rising to 0.6014, 64.73 and 1.7918, respectively in early deals. The kiwi is seen facing support around 0.58 against the greenback, 62.00 against the yen and 1.87 against the euro.

Looking ahead, German Ifo business climate index for April is due in the European session.

U.S. durable goods orders for March and University of Michigan's final consumer sentiment index for April will be out in the New York session.