Look forward 25 July 2016

AUD/USD posted sharp losses last week, dropping 150 points.
This week’s highlight is CPI.

The RBA minutes indicated that the bank was prepared to lower interest rates if needed, which put pressure on the Aussie.
The RBA could lower rates if next week’s CPI release is weak.
With a Fed rate hike in the second half a decent possibility, monetary divergence favors the US dollar.

 

 

Posted in Foreign Exchange News.