AUD/USD: On The Upswing; Where To Target? – CIBC

The Australian Dollar is making its way higher, quite quietly. What’s next?

Here is their view, courtesy of eFXdata:

CIBC Research discusses AUD outlook and  adopts a structural bullish bias targeting AUD/USD at 0.77 by the bend of Q3 and at 0.80 by year-end.

“The odds of the RBA delivering a rate hike in November have retreated, but  we consider the improving macroeconomic backdrop a catalyst for AUD strength.

The probability of a hike coming in conjunction with the November Statement on Monetary Policy has fallen from nearly 80% three months ago to now stand at a little over 20%.

But policymakers remain confident in the economy, stating that “progress on both inflation and unemployment is expected”. CIBC argues.

For lots  more FX trades from major banks, sign up to eFXplus

By signing up to eFXplus via the link above, you are directly supporting  Forex Crunch.