The Australian Dollar may struggle as the RBA further hints at rolling the yield target to the November 2024 bond. AUD/USD remains vulnerable to falling copper and iron ore prices.
The Australian Dollar may struggle as the RBA further hints at rolling the yield target to the November 2024 bond. AUD/USD remains vulnerable to falling copper and iron ore prices.
Australian Dollar Outlook: AUD/USD May Rise on Dovish Fed Speak After Huge NFP Miss
2021-05-07 23:00:00
Daniel Dubrovsky,
Strategist
Australian Dollar Fundamental Forecast: Bullish
The record miss in US jobs data could keep the Fed dovish for longer
That may keep risk appetite intact, boosting the sentiment-linked AUD
The sentiment-linked Australian Dollar pushed higher this past week, with AUD/USD touching its highest since the end of February. Risk appetite was supercharged, counterintuitively, by a record miss in April’s US jobs report. The nation only added 266k positions versus economists’ estimates of 1 million. This is as the unemployment rate rose to 6.1% from 6.0% prior. Expectations were set at 5.8%.
Australian Dollar Forecast: Dow Jones May Support AUD, Dovish RBA Poses a Risk
2021-05-02 03:00:00
Daniel Dubrovsky,
Strategist
Australian Dollar Fundamental Forecast: Neutral
Australian Dollar gains against USD but remains flat since January
Dovish RBA policy expectations offsetting impact of rosy stock market
Dow Jones may flag risk-on AUD support, offsetting local CPI data
The sentiment-linked Australian Dollar aimed cautiously higher this past week. But on the whole, it remains unchanged against the US Dollar since the beginning of this year. The Aussie’s consolidative dynamic for the past four months could be explained by a couple of opposing fundamental forces. These may continue persisting in the week ahead.
Australian Dollar Forecast: AUD/USD May Rise as Dovish Fed Calms Yields, US Dollar
2021-04-17 00:00:00
Daniel Dubrovsky,
Strategist
Australian Dollar Fundamental Forecast: Bullish
Dovish Fed commentary poured cold water on rate hike expectations
Relatively quiet week may keep this momentum going for time being
The sentiment-linked Australian Dollar aimed cautiously higher this past week, but it remains lower than where it was on average against its major counterparts in February – see chart below. On the whole, the Aussie has been in a fairly consolidative state since the end of 2020, materially slowing down its upside progress since last year’s Covid-induced bottom.