AUD/USD buoyed on Aussie CPI’s, bulls in control

AUD/USD buoyed on Aussie CPI's, bulls in control
FXStreet (Guatemala) – AUD/USD is currently trading at 0.7433 with a high of 0.7439 and low of 0.7405.

AUD/USD has been slightly bid on the back of the eagerly awaited CPI’s Q2 releases that are sighted as a crucial input for AUS/USD trajectory in the near term. The price action is inline with overnight’s better bid theme when the greenback suffered substantial losses adding to the Aussie’s rally on to the 0.74 handle from the vicinity of the 0.7350’s.

As ever, variance in the trimmed mean and weighted median measures were key for the RBA and these were pretty much in line with expectations , with only the weighted median missing by 0.1% vs expectations QoQ while trimmed came in at 0.6% all around but slightly higher yoy by 0.1%.

RBA rate cut off the cards for time being?

This was not inline with the RBA’s minutes yesterday that were neutral in respect of their outlook for interest rates although they sighted that the Q2 GDP would be a great deal worse than Q1. Markets can presume that the RBA can remain on hold for several months and hence a buoyant currency but that will not be in the RBA’s interest.

Continued rallies, as explained by Karen Jones, chief analyst at Commerzbank should ideally remain contained by the 0.7563 short term resistance line to remain directly offered.

RBA Stevens speech in focus

The attentions are going to turn a speech tonight from RBA Governor Stevens. Analysts at TD Securities explained, “Stevens, for his part, has been careful to maintain a fairly neutral outlook for policy, but we will scrutinize his comments carefully for any change in tone.”
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AUD/USD buoyed on Aussie CPI's, bulls in control
Source: FXStreet