The Australian Dollar dropped. Overview for 07.09.2021

September 7, 2021

Article By RoboForex.com

AUDUSD was quite emotional in its response to the RBA’s comments.

The Aussie dropped pretty much against the USD on Tuesday. The current quote for the instrument is 0.7411.

During its September meeting, the Reserve Bank of Australia decided to keep the benchmark interest rate intact at its all-time low of 0.10%. This decision was expected, so market players were not surprised.

At the same time, in the comments, the RBA confirmed its intentions to reduce the global QE program because it was expecting a quicker economic recovery in the near future. According to the regulator, the main reason for that is the vaccination campaign effect.

As we mentioned above, the RBA is planning to decrease the weekly QE volume from A$5B to A$4B. Another decision implies that the program will continue the stimulus program until mid-February 2022. Market players immediately forgot everything that was said before and perceived the last announcement as “rather soft”.


Free Reports:

Get our Weekly Commitment of Traders Reports - See where the biggest traders (Hedge Funds and Commercial Hedgers) are positioned in the futures markets on a weekly basis.





Sign Up for Our Stock Market Newsletter – Get updated on News, Charts & Rankings of Public Companies when you join our Stocks Newsletter





Investors did have such expectations: they really thought that the RBA might postpone the reduction of the QE program until better days because of lockdowns in Sidney, Melbourne, and other big cities in Australia. However, the regulator said that the outbreak of the delta strain would postpone the economic recovery but not sabotage it.

Article By RoboForex.com

Attention!
Forecasts presented in this section only reflect the author’s private opinion and should not be considered as guidance for trading. RoboForex LP bears no responsibility for trading results based on trading recommendations described in these analytical reviews.

InvestMacro

Share
Published by
InvestMacro

Recent Posts

Public health surveillance, from social media to sewage, spots disease outbreaks early to stop them fast

By John Duah, Auburn University  A cluster of people talking on social media about their…

6 hours ago

EUR/USD Steady Ahead of Major US Data Releases

By RoboForex Analytical Department EUR/USD remains stable at around 1.0483 as markets digest the implications…

1 day ago

Donor-advised funds are drawing a lot of assets besides cash – taking a bigger bite out of tax revenue than other kinds of charitable giving

By Brian Mittendorf, The Ohio State University  Donor-advised funds, or DAFs, are financial accounts funded…

1 day ago

NZD/USD Hits Yearly Low Amid US Dollar Strength

By RoboForex Analytical Department The NZD/USD pair has experienced a significant decline, touching a low…

2 days ago

Svalbard Global Seed Vault evokes epic imagery and controversy because of the symbolic value of seeds

By Adriana Craciun, Boston University  Two-thirds of the world’s food comes today from just nine…

2 days ago

This website uses cookies.