Home AUD/USD Higher in Range After RBA Didn’t Cut
Forex News Today: Daily Trading News

AUD/USD Higher in Range After RBA Didn’t Cut

Australia’s central bank left the interest rate unchanged at 3.25%, in a move that was somewhat surprising. The higher inflation rate reported recently supported a pause at the moment, but the global slowdown still raised expectations for a cut.

AUD/USD reacted with a leap, rising from around 70 pips, from 1.0365 to 1.0435 before stabilizing on high ground.

AUD USD Higher After No Cut November 6 2012
AUD USD Higher After No Cut – click image to enlarge

The statement noted some improvement in the global outlook, especially seeing a stabilization in China. So, there are already new doubts about a rate cut in the next meeting in early December.

AUD/USD is trading in a wide range of 1.0150 to 1.06 for quite a long time, and is now moving a bit higher. For more lines and events in this busy week, see the Aussie dollar forecast.

The elections in the US will definitely have a strong impact on the Aussie, which is a classic “risk currency”. Generally speaking, the Aussie would rise potentially rise on a Romney win and fall on a victory for Obama, even though a victory for Obama could already be priced in.

 

Yohay Elam

Yohay Elam

Yohay Elam: Founder, Writer and Editor I have been into forex trading for over 5 years, and I share the experience that I have and the knowledge that I've accumulated. After taking a short course about forex. Like many forex traders, I've earned a significant share of my knowledge the hard way. Macroeconomics, the impact of news on the ever-moving currency markets and trading psychology have always fascinated me. Before founding Forex Crunch, I've worked as a programmer in various hi-tech companies. I have a B. Sc. in Computer Science from Ben Gurion University. Given this background, forex software has a relatively bigger share in the posts.