AUD/USD slips to three-week lows on aggressive RBA rate cut calls

  • AUD/USD drops to lowest since May 24.
  • RBA to cut rates to 0.75% this year, according to NAB.
  • The aggressive rate cut forecasts are likely hurting the Aussie Dollar.

Australian Dollar is being offered this Friday morning, possibly in response to growing calls for aggressive RBA rate cuts in 2019.

The National Bank of Australia (NAB) has reportedly put out forecasts calling for three rate cuts this year. The bank had predicted two rate cuts earlier this year.

NAB’s forecast comes three weeks after Westpac – one of the big 4 Australian banks – revised its 2019 RBA interest rate cut forecast from two to three.

It is worth noting that up until now markets were priced in for two rate cuts. With growing calls for aggressive easing, the markets may begin pricing the possibility of RBA reducing rates to 0.75% by December,  keeping the AUD under pressure. The Reserve Bank of Australia cut rates by 25 basis points to a new record low of 1.25% earlier this month.

The AUD/USD pair is currently trading at 0.6898, representing 0.24% drop on the day. The pair hit a low of 0.6892 soon before press time – a level last seen on May 24.

Aussie may trim losses during the day ahead if China’s retail sales and industrial production numbers for May blow past expectations.

Technical Levels


Today last price 0.6898
Today Daily Change -0.0020
Today Daily Change % -0.29
Today daily open 0.6916
Daily SMA20 0.6932
Daily SMA50 0.7009
Daily SMA100 0.7064
Daily SMA200 0.7117
Previous Daily High 0.6939
Previous Daily Low 0.6901
Previous Weekly High 0.7022
Previous Weekly Low 0.6927
Previous Monthly High 0.7062
Previous Monthly Low 0.6862
Daily Fibonacci 38.2% 0.6915
Daily Fibonacci 61.8% 0.6924
Daily Pivot Point S1 0.6898
Daily Pivot Point S2 0.688
Daily Pivot Point S3 0.686
Daily Pivot Point R1 0.6936
Daily Pivot Point R2 0.6957
Daily Pivot Point R3 0.6974



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.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD bouncing modestly on disappointing US Consumer Confidence

The shared currency remains pressured by the idea that the ECB will come out with massive stimulus measures in September. US Michigan Consumer Confidence down to 92.1 brakes dollar's gains.


GBP/USD retreats sharply after approaching 1.2200

The GBP/USD pair came under selling pressure after flirting with weekly highs, as a dismal US confidence report brought back risk-off. GBP/USD still up for the week and above the critical 1.2100 level.


USD/JPY: Greenback makes modest progress against Yen, near 106.30

The demand for Yen as a safe-haven currency has been weak in the last three days. The levels to beat for bulls are at the 106.30 and 106.55 resistances.


Gold gives back territory towards a 23.6% retracement

Gold prices were a touch lower by the end of the week, falling -0.68% having travelled between a high of $1,528.00 to a low of $1,503.87, ending the NY session around $1,513. 

Gold News

Four Signs of A Bear Market

I am a believer that the Universe gives you signs. That may sound a bit crazy, but these three charts are three more signs of a bear market. The top chart is the GLD exchange traded fund.

Read more