AUD/JPY Dives to Six-Month Low Amid BoJ Hawkish Tone
The Australian Dollar (AUD) continued its slide against the Japanese Yen (JPY), reaching a six-month low on Wednesday's Asian session. The AUD/JPY pair fell further despite Australia's headline Consumer Price Index (CPI) rising 0.4% in August, with an annual rate of 4%. This increase did little to boost expectations for another interest rate hike from the Reserve Bank of Australia (RBA).
The Australian Bureau of Statistics' data also showed that the Trimmed Mean CPI remained unchanged at 3.6% year-on-year.
The AUD/JPY pair's decline was compounded by rising expectations of further Bank of Japan (BoJ) interest rate hikes, amid concerns over inflation risks. BoJ policymakers discussed speeding up rate increases in their July monetary policy meeting minutes, released on Monday.