AUD/USD observed a slight decrease with a tendency flat on Wednesday (20/07/16) this Leading Index data after MI for June reported slipping 0.2 percent. The decline erases gain 0.2 percent in the previous month, so the AUD/USD weakened 0.08 percent in thin trade at price 0.7502.
Leading the Index's Outlook signal consistent data growth as measured by Westpac, where the pace of growth to remain stable in the range of Australia 3 percent until next year. The Central Bank of Australia (RBA) will update their predictions about growth and inflation in August to a quarterly basis in conjunction with the announcement of monetary policy.
AMP Capital analyst, Aussie will strengthen to the Level High for 7 Weeks
One of Australia's largest Money Manager who was interviewed by the Sydney Morning Herald said that the country's currency will likely build strengthening in seven weeks even up to the top level 0.80 u.s. dollars.
Investor mengekspektasikan divergence between monetary policy direction the Federal Reserve u.s. and RBA, Aussie can rise to high yangbelum level seen since may 2015 when policy makers taking decisions with different expectations, said Ilan Dekell of AMP Capital. If the currency approached the levels, then it's time to sell the AUD/USD, because an economic downturn makes the exporter companies have struggled to cope with losses.
Traders predict the RBA would cut tribal flowers, but if not, the market will reassess the policy and (consequently) the dollar will rally Australia," said Dekel. Whereas cont, Dekell, equities and risk assets, will have the support of the Federa Reserve seemed reluctant to raise a tribal flowers again.
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