The Australian Dollar on Wednesday saw a slight decline during the domestic session as wage prices missed expectations. Released during the morning, the Wage Price Index which is now considered a key part of any future interest rate decisions saw a reading of 0.5%, missing expectations of 0.6% for the quarter and sitting at 2.3% on an annualised basis.
Drifting from open of 0.7167, The AUD/USD retreated to an intraday low of 0.7150 following the news and despite recovering at the close of play in Asia, continued its slide in offshore markets to touch 0.7140.
Losses were erased in the early morning as the Australian Dollar touched 0.7180. Investors sold off the greenback in anticipation of a dovish Federal Reserve outlook in the release of FOMC minutes.
The Australian Dollar opens at 0.7162 and looks towards the release of employment change for the month of January. Resistance lines continue to be drawn at the 0.7200 handle with support at 0.7105.