The aussie is lower at $1.0386 vs early Sydney $1.0402 as the currency turned weak in the last couple of hours, after managing to rebound from an overnight low of $1.0368. While the dovish bias signaled in the RBA’s cash rate statement Tuesday is a dampener for the aussie, the main trigger for weakness here is the gain in the euro-aussie cross which is up 1% to A$1.3078 and up from A$1.3057 early Sydney. Aussie-yen cross, on the other hand, is higher at Y97.24, up around 0.8% reflecting the yen’s weakness against the USD. Looking ahead today, the lone data release is retail sales for December but traders don’t expect this to be a big market-mover, whatever the outcome. For now, the aussie has support at overnight low and following that $1.0350.
EasyForexNews Research Team