Aussie was the standout performer today, thanks to the RBA’s monetary policy statement, following its decision to keep the cash rate on hold at 2.50%. Aussie-dollar opened at $0.8752, just above the overnight low of $0.8749 traded during the NY hours. The pair dipped further as risk averse trades again took hold of the market, and aussie-dollar dropped to a $0.8730 low. The pair began to tick higher as the countdown to the RBA decision began, with players putting their bets on a relatively hawkish RBA statement, particularly in its reference to the exchange rate. The RBA didn’t disappoint,and aussie-dollar went from $0.8759 to $0.8807 immediately after the RBA announcement. It then drove through $0.8810 and $0.8830 as the market digested the details of the announcement. There was a slight pause ahead of rumored $0.8850 offers but aussie gains resumed after that, peaking at $0.8895 so far. The pair was last at $0.8881 amid signs it is likely to further extend its gains later in the global day.
