Australian dollar, RBA, prices, commodities, ASX 200, AUD / USD – call points
- The RBA left interest rates unchanged and reduced the number of asset buyers
- AUD / USD had rallied in the lead, but the rise was reversed
- Australia’s ASX 200 softened, 10-year yield decreases
The AUD/USD moved up a quarter of a cent immediately after the Reserve Bank of Australia’s September monetary policy announcement. However, it then moved back to the level seen just before the statement. The central bank maintained both the cash interest rate and the 3-year government bond yield target at 0.10%. It also changed the purchase of government assets to AUD 4 billion per week until at least mid-February 2022. Previously, the RBA bought 5 billion a week.
The central bank has previously commented that although the Covid-19 Delta variant will cause short-term economic disruption, they will review the current episode and hope that by the beginning of 2022, the vaccination rate will be adequate. In addition, they have stated that, if all circumstances so require, the abolition of incentives may be reintroduced.
AUD / USD SHORT TERM CARD AFTER RBA NOTICE
Today’s announcement is against a background of very strong second-quarter GDP figures, which did not include the Delta effect and iron ore prices, which have moved significantly lower in recent weeks. Lower iron ore prices pulled Australian mining stocks lower during the day. The S&P/ The ASX 200 was slightly lower before the meeting and had changed little since.
Australia’s 10-year government yield was 1.265%, thus falling to 1.275% before falling below 1.26%. If it marks a turnaround in Australia’s long-term yield, it could have an impact on AUD / USD and is worth watching.
AUD / USD AND AU-USA 10 TABLE
Looking ahead, there are not many national data on Thursday 16 due to Australia’s employment figuresth In September. As closures take place in New South Wales and Victoria, external shocks are likely to be a major impetus in the near future.
– Written by Daniel McCarthy, Strategist at DailyFX.com
Use the or comments section below to contact Daniel @DanMcCathyFX Twitter