Cookies help us deliver our services. By using our services, you agree to our use of cookies.
Learn more Got it
Dakar 2017
Roboforex is an official sponsor
of "Starikovich-Heskes Team"
at the Dakar 2017
Home / Analytics / Forex analysis & forecasts / Forex Fundamental analysis / The Australian dollar manages to grow
Ask a question
Did not find the information you need? Ask your questions and get answers online!
Enter chat
Or enter your phone number in the form below and we will call you right away.
Call back

The Australian dollar manages to grow

The AUD/USD pair is now trading on the upside after fairly confident comments from the RBA.

The Australian dollar recently got really lucky with the reactions and news. The long phase of weakening observed earlier, almost accustomed the capital markets to the fact of constant depreciation of the AUD - because it perfectly fits into the fiscal views of the Reserve Bank of Australia. However, the market is living by its own rules and not always clearly fulfills what is expected of it.

This morning, the Reserve Bank of Australia made comments according to which they said the slowing of the economy in the second quarter, is a short-term factor. The situation on the labor market assessed fairly positively by the RBA, the regulator noted stability in commodity prices and the positive effects of low interest rates.

According to the official conclusions of the RBA, inflationary pressures in the country will remain low for some time. The approximate time range is 12-24 months. I think it is quite an appropriate framework: this is enough for fiscal stabilization, reduction in the share of external risks and increase in domestic demand. There are questions for the capacity of utilization, but here, too, it takes time.

Interestingly, the Australian regulator, analyzing the real estate market suggests continued high proportion of risk here, both for financial and for global economic stability. Perhaps we are talking about the possibility of an inflating "bubble" in the big cities.

The current quotation in the AUD/USD pair is 0.7284. Closer to the middle of the week the currency market will begin to become unstable, and this too will affect the positions of the Aussie.
RoboForex Analytical Department

Dear reader!

Without authorization, you can view no more than two reviews per day and no more than 10 per month. To continue reading analytical reviews, register or login to your Members Area.


Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex bears no responsibility for trading results based on trading recommendations described in these analytical reviews.