The Australian Dollar couldn’t keep balance. Overview for 05.10.2021

AUDUSD is falling after the RBA meeting and the statistics release. 

The Australian Dollar is falling against the USD on Tuesday afternoon. The current quote for the instrument is 0.7281.

So, during its October meeting, the Reserve Bank of Australia decided to keep the benchmark interest rate intact at 0.10%, just as expected. The QE program also remained unchanged: AU$4B every week until February 2022 at least to support the economic recovery process in Australia. 

In the comments, the RBA said that there were no necessary conditions that could make the regulator change its rate-related stance – it might change closer to 2024.  

At the same time, the RBA believes that the current slowdown in the economic growth rate is temporary and the recovery will boost once the vaccination campaign accelerates. The regulator, in its turn, is going to keep the business-friendly monetary policy.

The data published in the morning showed that the Retail Sales lost 1.7% m/m in August, just as expected. Moreover, this time the decline is the same it was in July. That’s not good for the Aussie.