The Australian dollar weakened slightly on Thursday after strengthening in the previous session. The AUD/USD pair still has room to recover as the US dollar faces pressure following weaker-than-expected US PPI data, which reinforced expectations of Fed easing in September.
Domestically, the AUD received support as solid Australian data reduced expectations for further interest rate cuts by the RBA. The swap market now rates an ~86% chance of the RBA holding rates this month.
Australian Consumer Inflation Expectations rose to 4.7% in September from 3.9% in August, reflecting stronger domestic demand while raising concerns about renewed inflationary pressures. RBA Governor Michele Bullock assessed that the private sector is starting to show "a little more growth," which is positive for the economy.
Now the spotlight turns to the US August CPI (released tonight WIB). Consensus projects 2.9% YoY for the headline and 3.1% YoY for the core. A higher reading could boost the USD and pressure the AUD, while a lower reading could open up room for a rebound in the AUD. The market has already priced in a 25 bps cut by the Fed, with the likelihood of a 50 bps cut still small.
Source: Newsmaker.id
The Australian dollar (AUD) held strong at the start of the week after strong Australian inflation data, while the US dollar weakened as market sentiment grew cautious due to the US-Greenland dispute....
The Australian Dollar is the best performer among major currencies in an otherwise calm start tobe the year. The Aussie appreciates nearly 0.5% against the US Dollar in the daily chart, so far, buoyed...
The Australian Dollar (AUD) continued to strengthen against the US Dollar (USD) on Wednesday, posting gains for the third consecutive day. The AUD's strength was driven by the release of the Reserve B...
The AUD/USD currency pair is currently in a bullish consolidation phase, a brief pause in its uptrend, and is hovering around the 0.6600 level during the Asian session on Friday (December 5th). This l...
The Australian Dollar (AUD) rose and reached a three-week high against the US Dollar (USD) during Wednesday's Asian session. This rise occurred despite less-than-satisfactory Australian economic data....
Gold prices briefly caused a stir after hitting a new record, but then slowed. The main trigger: US President Donald Trump withheld the threat of tariffs on Europe and claimed there was a "framework" for a future agreement on Greenland. This calmer...
Oil prices were little changed in Asian trading on Thursday after US President Donald Trump backed down from a threat to impose tariffs on European countries over Greenland. This decision helped ease geopolitical tensions and improve market...
The Nikkei 225 Index climbed 1.73% to close at 53,689, while the broader Topix Index rose 0.74% to 3,616 on Thursday, snapping a five-day losing streak as Japanese shares were lifted by a strong rally in chip and artificial intelligence related...