The Australian Dollar (AUD) has suffered its worst week against the US Dollar (USD) since mid-April falling back from 0.6700 levels to 0.6600 as we head into Friday. A more hawkish leaning Fed minutes and some soft Aussie data has left the AUD struggling this week. US medium home sales hit a record high of 387,000 in the 4 weeks to 19 May up 4% from a year ago, meanwhile new home sales slumped in April by 4.7% from March an extraordinary release, however house stock numbers have been very low and may have skewed the report. With the cross dropping through the bottom of the bull channel this week around 0.6620 we may see further downside action to come. Next week’s Australian CPI is on our radar with expectations of the key figure dropping to 3.2% from 3.6% y/y
The current interbank midrate is: AUDUSD 0.6595
The interbank range this week has been: AUDUSD 0.6593- 0.6708