Forex
AUD Consolidates Ahead of Critical CPI Report
The Australian dollar (AUD) has been consolidating ahead of a crucial inflation report. Last week, AUD/USD finished slightly lower at 0.6979 (-0.01%), ending three consecutive weeks of gains.
This came as the US dollar found support from cautious global risk appetite, offsetting the strong domestic labour force data for June. The country saw employment surge by a bumper 76,800 in June, far exceeding the expected 15,000 gain.
The improvement in risk sentiment has seen AUD/USD trading higher at 0.6998 (+0.20%) this afternoon. However, all eyes turn to Wednesday's second quarter (Q2) consumer price index (CPI) report, which will drive the Aussie's direction.