AUD took a pause. Overview for 16.02.2024

The Australian dollar, paired with the US dollar, appears positive. The current AUDUSD exchange rate stands at 0.6518.

The Aussie’s exchange rate rebounded from three-month lows and corrected fairly well as investors capitalised on the US dollar's decline. Yesterday’s US retail sales statistics further reinforced expectations of future interest rate cuts by the Federal Reserve.

Australia’s domestic statistics currently confirm the general expectation of an unchanged monetary policy. The country’s unemployment rate rose to a two-year peak of 4.1% in January. Employment expanded by a mere 500 jobs, falling short of the forecasted increase of 30,000.

The general market forecast expects the Reserve Bank of Australia to lower the interest rate by 40 basis points this year, with the first move anticipated in August.