AUD/USD at 70c Crossroads Ahead of RBA Meeting and US Data
The Australian dollar (AUD) is facing a crucial week ahead of the Reserve Bank of Australia (RBA) meeting and consumer price index (CPI) release, which are expected to drive early moves in the AUD/USD currency pair.
AUD/USD has been falling for three consecutive weeks, and attention will shift to US data, including PCE inflation, ISM manufacturing, and nonfarm payrolls, as traders reassess the Federal Reserve's (Fed) rate outlook.
Last week's RBA commentary leaned hawkish, making a 25 basis point hike at tomorrow's meeting likely. However, the employment report complicated the picture with a 39.5k jobs growth fueled by part-time work and a reduction of 6.3k full-time jobs.
The US dollar index reached a two-month high, sending AUD/USD to just shy of 70c.