AUD/USD opens in Sydney at $0.7805, after US trade last night was confined to a $0.7781 to $0.7825 range. The early focus today was on the release of the RBA’s Statement of Monetary Policy, which the market felt would elaborate further on the reason for the RBA’s cut in rates this week and its adjusted forecasts on inflation and growth. The aussie was held to a $0.7795 to $0.7805 range in the early hours before it then jumped through $0.7800 after the RBA statement. The move put a squeeze on positions and aussie-dollar then ran through buy-stops when it broke $0.7850. There were mixed views on the RBA statement but the overall result led to some tempering expectations of very aggressive RBA actions going forward. Aussie-dollar got up to a $0.7859 high before running into sellers off $0.7860 and it then eased to $0.7813. It saw a move to around $0.7830, where it stayed as PM Tony Abbott held a brief news conference to address what appeared to be a leadership challenge by lawmakers. Aussie-dollar showed little reaction to the political news and last trades at $0.7827.
