Australia Pre CPI View

But traders said it was unlikely the Aussie would push higher during the session, as markets wait for Wednesday’s fourth-quarter consumer price data.

Economists are predicting headline inflation of 0.7 per cent over the quarter and core inflation (ex volatile elements such as fuel prices) of 0.5 per cent, but a higher reading could add fuel to the Aussie’s rally.

“While I do not expect a positive print to have any immediate policy implications, it would continue to support the bias that the RBA’s next move will be a rate hike,” said Stephen Innes, senior currency trader at FX and CFD provider OANDA Australia and Asia Pacific.

 

The Sydney Morning Herald

This article is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Corporation or any of its affiliates, subsidiaries, officers or directors. Leveraged trading is high risk and not suitable for all. You could lose all of your deposited funds.

Stephen Innes

Stephen Innes

Senior Currency Trader and Analyst at OANDA
Stephen has over 25 years of experience in the financial markets and specializes in Asian currencies at OANDA. After having started his trading career with NatWest Bank, he is currently based in Singapore as a Senior Currency Trader and Analyst with OANDA, focusing on the movement of the Aussie Dollar and ASEAN Currencies. Stephen has an extensive trading experience in Interest Rate Futures, Money Markets and Precious Metals. Prior to joining OANDA, he worked with organizations like Cambridge Mercantile, Nat West, Garvin Guy Butler, Sumitomo Mitsui Banking Corporation. Stephen was born in Glasgow, Scotland, and holds a Degree in Economics from the University of Western Ontario.
Stephen Innes