The pair started Tuesday’s morning session at $0.8763 was initially confined to a fairly narrow range of $0.8760 to $0.8780 in early dealings on caution ahead of the RBA cash rate announcement. The earlier gains gave away as Asian markets got underway although aussie-dollar encountered minor demand at $0.8750/45. The pair ate away at these bids as the US dollar continued to strengthen through the morning, and aussie-dollar then slipped to $0.8741. Aussie-dollar extended the lows to $0.8732 in the late morning before recovering a bit to $0.8759 heading into the RBA announcement. The RBA kept the cash rate unchanged as expected and noted in its statement the aussie remained historically high despite recent falls. Aussie-dollar reacted with another movedown to a new low for the session at $0.8727 before it recovered quickly again. It last trades at $0.8766 amid talk of larger demand interest on approach of $0.8700. Up top, offers are noted at $0.8790 to $0.8800, and at $0.8820. Stops are seen in the $0.8780/85 zone and above $0.8840.
