Add to the equation the fact that the Australian benchmark S&P200 index just hit the 5,000, suggestive of growing confidence in the outlook of the economy one thinks, then we also have China growth picking up, stabilization in Europe, and the result seems to point that the RBA will be comfortable staying pat for longer. Cash rate futures put odds of a cut in March at 41%.
On the flip side, sure there still will be the more pessimist side of the market, betting for cuts in the near term and sticking to the latest statement of the RBA, where further cuts were not discarded, yet as things stand, the latter faces the threat of losing supporters. A break above 1.0350/60 resistance in the AUD/USD will be further indication that the market is shifting its view.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.