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AUD/USD Rate Faces Australia CPI Report & Fed Rate Decision


AUD/USD Rate Faces Australia CPI Report & Fed Rate Decision
2021-07-24 02:00:00
David Song,
Strategist
Australian Dollar Talking Points
AUD/USD faces a batch of key event risks going into the end of July as Australia’s Consumer Price Index (CPI) is anticipated to hit a 13-year high, while the Federal Reserve appears to be on track to adjust the forward guidance for monetary policy.
AUD/USD carves a series of higher highs and lows as it bounces back from a fresh monthly low (0.7289), and Australia’s CPI report may influence the exchange rate ahead of the Federal Open Market Committee (FOMC) interest rate decision as inflation is projected to increase to 3.8% in the second quarter of 2021, which would mark the highest reading since 2008. ....

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AUD Q3 Fundamental Forecast: Australian Dollar Outlook Mired by Dovish RBA Forward Guidance


AUD Q3 Fundamental Forecast: Australian Dollar Outlook Mired by Dovish RBA Forward Guidance
2021-07-03 00:30:00
David Song,
Strategist
The Australia Dollar faced headwinds throughout the second quarter of 2021 as the Reserve Bank of Australia (RBA) offered a dovish forward guidance for monetary policy, with AUD/USD trading to a fresh yearly low (0.7477) in June as Federal Reserve officials project two rate hikes for 2023.
The minutes from the June meeting suggest the RBA is on a pre-set course as the central bank looks to complete the “second $100 billion of purchases in early September 2021,” and it seems as though Governor Philip Lowe and Co. are in no rush to switch gears as “monetary policy would be likely to need to remain highly accommodative for some time yet.” In turn, the RBA may utilize its quantitative easing (QE) program throughout the remainder of the year as “members thought it would be premature to consider ceasing the program,” and t ....

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Australia, NZ dlrs recover from bond market tumult

Australia, NZ dlrs recover from bond market tumult
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