In short
- The Australian dollar fell overnight but recovered after the RBA left rates on hold
- The central banks view on the Australian economy also remained largely unchanged
- Australian trade balance data including imports and exports due out later in the week
AUD to USD exchange rates
| Time | Open | Low | High |
|---|---|---|---|
| Today | 0.6908 | ||
| In the last week | 0.6844 | 0.6929 | |
| In the last month | 0.6714 | 0.6929 |
The Australian dollar gained against most major currencies after the RBA left interest rates on hold at 0.75%
After nearly 3 years of no change, the central bank has cut rates 3 times this year in June, July and October. Last week, retail sales data suggested that the interest rate cuts are not being spent, they are being saved or used to pay off debt. There is also suggestions that it has contributed to the recent rebound in house prices.
The decision provided some support for the Australian dollar which popped back above 69 cents and finished the day close to its highest point. The AUD/NZD exchange rate also rose and is now up more than 0.5% in the past 24 hours.
Up Next
With Australian retail sales figures and the RBA meeting done and dusted all that remains are the trade data later in the week.
Overseas, the central bank in the UK is also meeting but no change is expected. Closer to home, New Zealand will release its employment data while Chinese trade data will be closely watched and could have an impact on the Australian dollar.
| Country | Day | Event |
|---|---|---|
| Australia | Monday | Retail Sales figures |
| Australia | Tuesday | RBA meeting |
| New Zealand | Wednesday | Labour Force data |
| United Kingdom | Thursday | Bank of England meeting |
| China | Friday | Trade balance figures including imports and exports |
