AUD Remains Resilient Amid Mixed Economic Signals
The AUD/USD currency pair has shown resilience despite mixed economic signals in recent days. The Australian Dollar (AUD) has retained its strength in the positive territory, trading around 0.7030 during Asian market hours on Monday.
This resilience stems from China's economic developments, as it is Australia's most significant trading partner. Recent data revealed that China's Manufacturing Purchasing Managers' Index (PMI) eased to 50.9 in July, down from 51.7 in June, but still above the neutral 50 mark.
In contrast, inflation data in Australia surprised some analysts, with BNY's Geoff Yu noting that Reserve Bank of Australia (RBA) Assistant Governor Sarah Hunter described the latest Consumer Price Index (CPI) print as 'a touch softer' than expected. However, inflation levels in Australia continue to exceed the RBA's target range of 2% to 3%.