17 Jun 2014
Behind the AUD fall post RBA minutes
FXStreet (Bali) - The AUD has been sold-off across the board following the RBA minutes, with traders reading the content as more dovish than expected.
Two of the RBA comments that stood out were, firstly, when making reference to a sharp fall in consumer confidence, while the RBA also said that for the time being, "is difficult to judge if low rates enough to offset mining investment, fiscal tightening." With regards to the AUD, the central bank repeated that the A$ is high by historical standards, given fall in commodity prices.
Sean Lee, Founder at Forextell, said: "The latest minutes were pretty much as expected but the AUD is drifting lower across the board, suggesting that the market might be a little long."
Two of the RBA comments that stood out were, firstly, when making reference to a sharp fall in consumer confidence, while the RBA also said that for the time being, "is difficult to judge if low rates enough to offset mining investment, fiscal tightening." With regards to the AUD, the central bank repeated that the A$ is high by historical standards, given fall in commodity prices.
Sean Lee, Founder at Forextell, said: "The latest minutes were pretty much as expected but the AUD is drifting lower across the board, suggesting that the market might be a little long."