The Australian Dollar was let down by the statistics. Overview for 24.04.2019

In the middle of the week, AUDUSD reached its six weeks low due to weak numbers and the USD rally. 

The Australian Dollar got weaker against the USD on Wednesday. The current quote for the instrument is 0.7042.

Today is a holiday in Australia, but the statistics keep coming.

In the morning, Australia reported on the Consumer Price Index for the first quarter 2019, which showed 0.0% q/q after being 0.5% q/q the quarter before and against the expected reading of 0.2% q/q. 

It appears that there were no changes in the consumer goods basket at the beginning of this year, although salaries improved and retail sales might push the inflation a little bit. One of possible reasons may be a seasonal factor, which prevented the inflation from rising. 

This report made the Aussie plunge against the USD very quickly. Lack of dynamics in the inflation may be perceived by market players as a signal of consumption slowdown, which is very bad for the country’s economy. On top of that, the USD is pushing against the Aussie supported by increased liquidity after Easter holidays.