AUD/USD likely to hold close to current levels at 0.6600 on a one-month view – Rabobank
|AUD/USD hovers around the 0.6600 level. Economists at Rabobank analyze Aussie’s outlook.
AUD/USD to trend towards 0.7000 at the end of the year
Amid speculation that fresh RBA forecasts could imply that it could take CPI inflation a little longer to return to target than previously estimated, market rates are suggesting that the RBA is likely to remain more hawkish on policy than either the Fed or the ECB. At first sight, this should be supportive for AUD/USD. However, in our view, the market is likely to continue pricing out some of the Fed rate cuts that had been anticipated for the first half of this year. This suggests scope for a firmer USD near term.
We maintain a forecast that AUD/USD is likely to hold close to current levels at 0.6600 on a one-month view.
We expect AUD/USD to trend towards 0.7000 at the end of the year.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.