Off the wire
• Seoul shares open lower  • Antibiotic blocks Zika virus infection of fetus in lab test  • 2nd LD Writethru: DPRK test-fires 3 short-range missiles in show of force  • Obama administration asks Supreme Court to reconsider landmark immigration plan  • Chinese phone maker ZTE releases newest smartphone  • 1st LD Writethru: DPRK test-fires 3 short-range missiles in show of force  • Roundup: Fears grow about FARC internal strife over Colombian peace deal  • AIDS 2016 calls for eradication of AIDS by 2030  • Canadian stocks rise despite oil drop after Turkey coup  • Urgent: DPRK fires 3 ballistic missiles: Yonhap  
You are here: 　 Home

Limited upside to Australian dollar that's trading in tight range

Xinhua, July 19, 2016 Adjust font size:

The Australian dollar continued its tight trading range around the 76 U.S. cent handle overnight as the greenback traded sideways with little impetus to send it higher.

At the Asian open on Tuesday the Australian dollar was trading at 75.91 U.S. cents, little changed from 75.90 U.S. cents at Monday's close, though had hit an intra-session high of 76.05 U.S. cents.

"The Australian dollar traded near the top of its recent range overnight on easing global financial market stress," Commonwealth Bank of Australia senior currency strategist Elias Haddad said.

"Still the upside will be limited."

Australia's central bank releases it's June meeting minutes mid-session which will likely continue to suggest more policy easing is in the pipeline if the local inflation outlook deteriorates, Haddad said.

"The RBA forecasts underlying inflation will not reach the lower bound of its 2-3 percent target band until 2018," Haddad said, thus confirming his expectations of two more cuts in 2016.

The market is taking a similar view as by 1005 local time the Aussie dollar had fallen to 75.66 U.S. cents in anticipation of the RBA's meeting minutes. Endit