Aussie dollar falls below US$0.63
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Daily Currency Update
The Australian dollar is slightly weaker this morning when valued against the Greenback currently trading at 0.6268 at time of writing. The Australian dollar (AUD) remains directionless during Friday’s American session, with AUD/USD hovering around the 0.6300 zone. The AUD/JPY pair extended its decline on Friday, hovering near the 94.30 zone after the European session and slipping closer to the lower end of its intraday range. The pair is down notably on the day, reflecting an increase in selling interest. While some momentum indicators remain neutral or even slightly constructive, broader technical signals continue to favor a bearish bias for the near term. On the local front this week mortgage holders hoping for further relief on interest rates when the Reserve Bank of Australia meets next week will be disappointed, according to new research. The board meeting starting next Monday will be the first since the RBA made its long-anticipated cut last month, bringing the cash rate down to 4.10 per cent. Now a Finder survey of 34 economists has found two out of three think the central bank will keep the cash rate on hold when the RBA announces its decision on Tuesday afternoon (AEDT).Key Movers
The US dollar Index (DXY), which measures the value of the US dollar (USD) against a basket of currencies, is currently flat near 104.30 on Friday following the release of the Federal Reserve’s (Fed) preferred inflation metric — the Personal Consumption Expenditures (PCE) Price Index. The core PCE Price Index, which excludes volatile food and energy prices, increased 2.8% on a yearly basis in February, above analysts' forecast and January's increase of 2.7%. On a monthly basis, the PCE Price Index and the core PCE Price Index rose 0.3% and 0.4%, respectively. PCE inflation data is usually seen as a big market mover because it is taken into account by Fed officials when deciding on the next policy move. Gold price rallied sharply on Friday, hitting a new record high of $3,086 amid uncertainty over US trade policy, alongside an uptick in the Federal Reserve's (Fed) preferred inflation gauge. After this, traders seem confident that the Fed will cut rates twice in 2025. The XAU/USD trades at 3079, up 0.79%.Expected Ranges
- AUD/USD: 0.6200 - 0.6400 ▼
- AUD/EUR: 0.5700 - 0.5900 ▼
- GBP/AUD: 2.0400 - 2.0600 ▲
- AUD/NZD: 1.0850 - 1.1050 ▼
- AUD/CAD: 0.8900 - 0.9100 ▼