Weekly Roundup: Australian dollar climbs amid upbeat mood and strong jobs data
Amy Richards September 18th 2023 - < 1 minute read
The Australian dollar rallied as last week’s session began, with investors responding to positive Chinese inflation data over the weekend. China’s latest CPI cheered markets, thereby lifting the risk-sensitive ‘Aussie’.
An unexpected decline in Australian consumer confidence and a souring market mood stifled AUD’s upside as the week went on.
However, stronger-than-forecast employment data towards the end of the week helped the ‘Aussie’ regain the upside, with AUD ending the week strongly.
Looking ahead, the Reserve Bank of Australia’s (RBA) latest meeting minutes could drive most AUD movement this week. If policymakers struck a dovish tone, the ‘Aussie’ could slide.
Additionally, market risk appetite – particularly linked to the Fed’s rate decision – could impact AUD. Will a hawkish tone from the US central bank create headwinds for the Australian dollar?