The Australian Dollar (AUD) gave back gains after reaching 0.7120 earlier in the week traded into Friday around the 0.6910 zone. The greenback outperformed post a lower CPI report sending the AUD packing. Australian Job’s data also wasn’t overly supportive- the participation rate dropping to 66.4%, the economy losing 40,000 jobs in July, while the unemployment rate clicked lower to 3.4% from 3.5%. The US Fed is planning 4 more rate hikes in 2022 pouring overpriced fuel on the fire with a number of Fed officials concerned the Fed are overdoing it. The stock market has already started showing signs of buckling and could react negatively over the coming months if the Fed don’t get it right. Meanwhile, US Retail Sales came in flat unchanged from July having risen 0.8% in the month of June. Households without a doubt having to watch their spending habits as interest rates rise. Support into the weekly close at 0.6880 should hold- the 4-week low.
The current interbank midrate is: AUDUSD 0.6911
The interbank range this week has been: AUDUSD 0.6898- 0.7123