The market sentiment is mixed, but there are still interesting movements on the market.
The RBA: keeping the AUD alive?
The Reserve Bank of Australia will publish its statement and announce the interest rate on July 7, at 7:30 MT time.
Instruments to trade: AUD/USD, AUD/JPY, EUR/AUD
Each month except January the RBA releases the rate statement, which helps to keep investors informed about the bank's current monetary policy. Also, it reviews the economic outlook of the country and offers clues on its further decisions. Recent comments by the RBA Governor Philip Lowe were positive for the bulls of the AUD. According to his words, the rising currency is not a problem at this point. He noted that Australia was doing better than other countries amid the coronavirus crisis and mentioned strong commodity prices supporting the economy. Judging by his words, we won’t see any major changes this time. Still, the Reserve Bank of Australia may surprise us.
- If the RBA is optimistic, the AUD will rise;
- If the RBA is pessimistic, the AUD will fall.
The Australian jobs data is announced on Thursday at 03:30 MT time.
The Federal Open Market Committee (the department of the Federal Reserve) will publish the meeting minutes on October 7 at 21:00 MT time.
Canada’s retail sales will be out on October 21 at 15:30 MT time. Get ready with us for this event!
The market is resilient ahead of the speeches of Fed’s Powell and ECB President Lagarde, but there are still interesting movements.
The uncertainty over US fiscal stimulus and Brexit, and also rising new virus cases deteriorated the market mood. That’s why we can expect the further rally of the US dollar and the fall of riskier assets today.