AUDUSD: Dollar Strength continues
Hello Friends, Investors and Traders !!
The U.S. dollar climbed to a fresh new 20-year high in early trade Tuesday.
The latest US Consumer Price Index is due on Wednesday and is expected to show an 8.8% year over year increase and a 1.1% month over month increase. In combination with Friday’s strong non farm payrolls release, this will point to another Fed interest rate hike of 75bps which is likely to have a negative impact on global growth.
A new wave of recessionary fears has amassed as central banks around the world are tightening monetary policies. This has restricted AUD upside as one of the traditional risk pairs for forex markets. The hawkishness of the Fed Reserve and the RBA may be turning the tide for the Aussie Dollar
The Russian/ Ukrainian war remains catalytic and can definitely play a role in the future price action of the Aussie Dollar pair with commodity price disruptions or changes in risk sentiment being the cause.
This is an article not Financial advice
If you have any questions please leave a comment and I will answer them
And please support this idea with your likes and comment. Thank you
The U.S. dollar climbed to a fresh new 20-year high in early trade Tuesday.
The latest US Consumer Price Index is due on Wednesday and is expected to show an 8.8% year over year increase and a 1.1% month over month increase. In combination with Friday’s strong non farm payrolls release, this will point to another Fed interest rate hike of 75bps which is likely to have a negative impact on global growth.
A new wave of recessionary fears has amassed as central banks around the world are tightening monetary policies. This has restricted AUD upside as one of the traditional risk pairs for forex markets. The hawkishness of the Fed Reserve and the RBA may be turning the tide for the Aussie Dollar
The Russian/ Ukrainian war remains catalytic and can definitely play a role in the future price action of the Aussie Dollar pair with commodity price disruptions or changes in risk sentiment being the cause.
This is an article not Financial advice
If you have any questions please leave a comment and I will answer them
And please support this idea with your likes and comment. Thank you
