Weekly Roundup: Australian dollar rebounds as risk appetite improves

Amy Richards December 5th 2022 - < 1 minute read

The risk-sensitive Australian dollar fell sharply at the open of last week’s trade as widespread anti-lockdown protests in China rattled global markets.

However, risk appetite returned amid hopes that China would ease lockdown restrictions, which would likely prompt growth in the world’s second-largest economy.

Mixed Australian and Chinese economic data through the second part of the week limited AUD’s gains, although it remained up on the week.

This week, stronger-than-forecast US data has sparked risk aversion, which is weighing on the ‘Aussie’.

The Reserve Bank of Australia (RBA) interest rate decision is in focus this week. Will another dovish hike dent the Australian dollar?

Written by
Amy Richards

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