- Analytics
- News and Tools
- Market News
- AUD/USD: RBA's hawkish turn may not prove enough to materially lift the aussie – ING
AUD/USD: RBA's hawkish turn may not prove enough to materially lift the aussie – ING
The Reserve Bank of Australia (RBA) has hiked rates by 25bp taking the cash rate target to 0.35%. The aussie jumped after the statement. However, economists at ING expect AUD/USD to struggle at the 0.72/73 zone in the coming weeks.
RBA hikes 25bp
“The RBA sent a firmly hawkish signal as it hiked rates by 25bp (to 0.35%) and announced it would stop reinvesting maturing assets, therefore allowing its balance sheet to shrink over the coming quarters.”
The AUD rally has proven relatively short-lived, which is not entirely surprising given that: a) markets were already pricing in a cash rate of 2.60% by year-end (they now expect 2.80% after the hike); b) lingering concerns on China’s Covid crisis are weighing on the Antipodeans.
“The upside for AUD/USD may still be limited to the 0.72/0.73 area in the coming weeks.”
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
