Forex Today: AUD caps gains on poor Aus data, RBA, a light session ahead


We had an eventful Asian session this Tuesday, dominated by the Australian data dump and RBA rate decision amid risk-on market profile, as the US tariffs induced global trade war fears ebbed. Therefore, downbeat Aus retail trade and current account data had little impact on the risk-on rally in AUD/USD. However, the upside lost legs just shy of 0.7800 after the RBA kept the rates on-hold.

Meanwhile, the Kiwi also held onto minor bids, in wake of the oil-price rally and higher Asian equities, which in turn weighed down the safe-haven Yen. The USD/JPY pair tested the 106.50 barrier before trimming gains following the comments from the BoJ Governor Kuroda.

Main topics in Asia

RBA leaves rates unchanged, as widely expected

The Reserve Bank of Australia (RBA) at its monetary policy meeting today, left the official cash rate (OCR) on-hold at a record low of 1.50%, as widely anticipated.

RBA: Appreciating AUD could slow economic activity, inflation

Following are the key headlines from the RBA monetary policy statement (via Reuters) …

Australia current account deficit widened to AUD $14 billion in fourth quarter

Australia current account deficit widened to AUD 14 billion, beating the estimated rise to AUD 12.6 billion from the previous quarter's print of AUD 9.1 billion

Australia January retail sales rebound is weaker than expected

Consumption, as represented by retail sales, rebounded in January, but missed estimates by a big margin, the Australian Bureau of Statistics reported today. 

UK consumers want to spend but dont have the resources - BRC's Dickinson

Helen Dickinson, Chief Executive of the British Retail Consortium (BRC) has warned the consumers want to spend but “just don’t have the resources”. 

OPEC/non-OPEC alliance is open to all producers - OPEC's Barkindo

The Secretary-General of OPEC, Mohammed Barkindo, is out with comments about the current state of the oil production marketplace and OPEC's hopeful outlook on an oil production alliance heading forward.

BoJ’s Kuroda: BoJ will take all necessary steps to achieve inflation target

More comments flowing in from the BoJ Chief Kuroda, as he continues to speak at his confirmation hearing at the upper house in parliament.

Key Focus ahead

Today’s macro calendar remains relatively light, with the second-liner data in the Eurozone retail PMI slated for release in the European session amid no economic releases from the UK docket. However, the speeches from the FOMC member Dudley and BOE MPC member Haldane will remain in focus for fresh trading impetus.

In the NA session, NZ GDT price index and Canada’s Ivey PMI will be released alongside the US factory orders and IBD/TIPP Economic Optimism data. Also, of note remains the API US crude inventories report due later in the American afternoon.

EUR/USD options shed bearish bias, long-term outlook bullish

The EUR/USD risk reversals (implied vol premium for EUR calls vs EUR puts) rose to neutral (zero) yesterday vs. EUR 0.275 on Friday and 0.975 EUR puts on Feb. 12.

GBP/USD inching towards 1.39, BOE's Haldane to set the tone later

The GBP is geared up to put an end to that with the pair bouncing upwards recently after digging in its heels from the swing low of 1.3712 on March 1st. Sterling data is spread thin today.

Trump to meet with steel, aluminium consumer firms - BBG

Headlines crossed the wires via Bloomberg, citing that the US President Donald Trump is expected to meet with executives from the US firms that use aluminum and steel to discuss the tariffs proposals.

Key Events:

GMT
Event
Vol.
Actual
Consensus
Previous
Monday, Mar 05
24h
 
 
Tuesday, Mar 06
n/a
 
 
1.81%
12:30
 
 
13:55
 
 
3.3%
13:55
 
 
-0.6%
n/a
 
 
-0.5%
15:00
 
-1.3%
1.7%
n/a
 
 
56.7
15:00
 
 
51.3
15:00
 
56.3
55.2
16:30
 
 
1.495%
18:15
 
 
21:30
 
 
0.933M
21:35
 
 
22:30
 
 
22:30
 
 
54.3
23:50
 
 
$1,268.5B
Wednesday, Mar 07
00:30
 
2.2%
2.8%
00:30
 
0.5%
0.6%
01:30
 
 
05:00
 
107.8
107.4
05:00
 
119.5
120.2
08:00
 
 
¥3.161T
08:30
 
0.0%
-0.6%
08:30
 
2.4%
2.2%
10:00
 
2.7%
2.7%

 

Share: Feed news

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.

Recommended content


Recommended content

Editors’ Picks

AUD/USD: A tough barrier remains around 0.6800

AUD/USD: A tough barrier remains around 0.6800

AUD/USD failed to maintain the earlier surpass of the 0.6800 barrier, eventually succumbing to the late rebound in the Greenback following the Fed’s decision to lower its interest rates by 50 bps.

AUD/USD News
EUR/USD still targets the 2024 peaks around 1.1200

EUR/USD still targets the 2024 peaks around 1.1200

EUR/USD added to Tuesday’s losses after the post-FOMC rebound in the US Dollar prompted the pair to give away earlier gains to three-week highs in the 1.1185-1.1190 band.

EUR/USD News
Gold surrenders gains and drops to weekly lows near $2,550

Gold surrenders gains and drops to weekly lows near $2,550

Gold prices reverses the initial uptick to record highs around the $$2,600 per ounce troy, coming under renewed downside pressure and revisiting the $2,550 zone amidst the late recovery in the US Dollar.

Gold News
Australian Unemployment Rate expected to hold steady at 4.2% in August

Australian Unemployment Rate expected to hold steady at 4.2% in August

The Australian Bureau of Statistics will release the monthly employment report at 1:30 GMT on Thursday. The country is expected to have added 25K new positions in August, while the Unemployment Rate is foreseen to remain steady at 4.2%.

Read more
Ethereum could rally to $2,817 following Fed's 50 bps rate cut

Ethereum could rally to $2,817 following Fed's 50 bps rate cut

Ethereum (ETH) is trading above $2,330 on Wednesday as the market is recovering following the Federal Reserve's (Fed) decision to cut interest rates by 50 basis points. Meanwhile, Ethereum exchange-traded funds (ETF) recorded $15.1 million in outflows.

Read more
Moneta Markets review 2024: All you need to know

Moneta Markets review 2024: All you need to know

VERIFIED In this review, the FXStreet team provides an independent and thorough analysis based on direct testing and real experiences with Moneta Markets – an excellent broker for novice to intermediate forex traders who want to broaden their knowledge base.

Read More

Forex MAJORS

Cryptocurrencies

Signatures