Created
: 2024.08.28
2024.08.28 19:24
For the second consecutive month, there is some tentatively encouraging news on inflation for the Reserve Bank of Australia. Monthly headline CPI eased from 3.8% to 3.5% year-on-year in July. That was above the 3.4% consensus, but the slowdown in the trimmed mean (i.e. core) from 4.1% to 3.8% made up for that, ING's FX strategist Francesco Pesole notes.
"The AUD followed Australian bond yields higher right after the release, but is now trading back below 0.680. There are reasons to be cautiously optimistic on Australian disinflation at this point, but we still see market pricing for one RBA cut in December as too dovish and think easing will only start in 1Q25. Remember that RBA rates are at 4.35%, which is still below the rates expected of the Fed and the RBNZ (both 4.50%) by year-end."
"Some short-term USD rebound can put some pressure on AUD, but it seems too early to rule out that the 0.6850 December-2023 highs will be tested."
Created
: 2024.08.28
Last updated
: 2024.08.28
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy