A Big Week for Exchange Rates

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In short

  1. The Australian dollar posted strong gains but started to fade last week
  2. Interest rates in the US could be coming down on Wednesday
  3. Important Australian inflation (CPI) data this week

AUD to USD exchange rates

TimeOpenHighLow
Today0.6816
In the last week0.68120.6880
In the 3 months0.66760.6966

In October, the AUDUSD has been savaged to a 10-year low under 67 cents before making a reasonable comeback. Last week, it managed to hit 0.6880 before losing more than 1% since late last week to settle above 0.6700.

The short-term direction of the Australian dollar could be defined by any number of events but this week, there are 2 of important ones:

  • Wednesday: Australian inflation data is released. Any increase in inflation could help the Aussie dollar back towards 70 cents
  • Wednesday: The US Fed Reserve is expected to cut interest rates following their central bank meeting

Other things to keep an eye on this week is a speech by RBA boss Dr Philip Lowe, central bank meetings in Canada and Japan, Eurozone GDP figures and US Non Farm Payrolls (a measure of employment).

Up Next

This week, it's all about central banks and (cutting) interest rates.

 

CountryDayEvent
AustraliaTuesdaySpeech by the RBA head, Dr Philip Lowe
AustraliaWednesdayConsumer Price Index (CPI) Quarterly inflation data
USAWednedsayInterest Rate Decision
CanadaWednedsayInterest Rate Decision
JapanThursdayInterest Rate Decision
EurozoneThrusdayGDP figures
USAFridayNon Farm Payrolls

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