The RBA cut its cash rate to a record low 1.50% from 1.75%. Rate statement does not look particularly dovish - there's no explicit hint of further easing though they didn't close the door on it either.
The reaction in the Aussie was in line with the cut being almost fully discounted. A spike lower was promptly reversed and the price was back to unchanged after a good hour. Still attractive yield, recovering commodities and Fed in no hurry to hike will keep the pair supported.
The reaction in the Aussie was in line with the cut being almost fully discounted. A spike lower was promptly reversed and the price was back to unchanged after a good hour. Still attractive yield, recovering commodities and Fed in no hurry to hike will keep the pair supported.