AUD/USD (current price: 0.7635)
Reserve Bank of Australia left its benchmark interest rate unchanged at 1.5% yesterday, in line with the consensus estimate, and the central bank left its projections mostly intact as well. The decision had little effect on the pair, as it traded parallel to international trends, finishing substantially lower after a weak Wall Street session. The steep fall in precious metals hurt the Aussie on Tuesday, and the Dollar rally also pushed the pair lower amid the ongoing stock market correction.
Our assessment: The pair remains relatively strong, despite yesterday’s decline, as it held up above the key support level near 0.76, with the robust rally in oil helping the currency.
