It’s been a game of two halves this week with the Australian Dollar (AUD) falling to fresh lows around 0.6330 then reversing midweek all the way back to 0.6423 as we head into Friday. August monthly CPI in Australia rose 5.2% compared to the 4.9% seen in July inline with rough expectations. The jump was mostly attributed to rising fuel prices and housing costs. The RBA will continue to ponder if they need to raise rates from 4.10% before the end of the year. However next week’s RBA cash rate release is not expected to deliver any surprises.
The current interbank midrate is: AUDUSD 0.6429
The interbank range this week has been: AUDUSD 0.6330- 0.6443