AUD\/USD weakens amid easing inflation and stronger US jobs data<\/p>\n
AUD\/USD<\/a> ended last week lower at 0.6686, down 0.13%, after reaching a more than 15-month high of 0.6766 earlier in the week.<\/p>\n The pullback was initially triggered by Australia’s November monthly consumer price index (CPI)<\/a> data, which eased concerns about immediate Reserve Bank of Australia (RBA) interest rate<\/a> hikes. Headline CPI rose 3.4% year-on-year (YoY), below forecasts of around 3.7%, easing from 3.8% in the prior month, while the trimmed mean, the RBA’s preferred gauge, eased to 3.2% YoY from 3.3%.<\/p>\n Although both measures remain above the RBA’s 2% \u2013 3% target band, the moderation in November after several hotter prints provided relief, prompting markets to temper expectations for an aggressive RBA tightening cycle in 2026.<\/p>\n Also contributing to the Australian dollar’s<\/a> retreat was the US dollar<\/a>\u00a0finding support late last week after the December US non-farm payrolls<\/a> report was not as disappointing as feared. Non-farm payrolls rose by 50,000, softer than expected but not disastrous, and the unemployment rate fell to 4.4% from 4.5%, better than the 4.6% forecast.<\/p>\n This virtually eliminated all expectations of a Federal Reserve (Fed)<\/a> rate cut at the late-January Federal Open Market Committee (FOMC)<\/a> meeting, lending support to the US dollar.<\/p>\n Outlook for AUD\/USD<\/p>\n Looking ahead, whether AUD\/USD extends its correction from the 0.6766 peak this week will depend on risk sentiment over the coming days. Key catalysts include major US bank earnings from Bank of America<\/a>, Citigroup<\/a>, Wells Fargo<\/a>, Morgan Stanley<\/a>, and Goldman Sachs<\/a>, along with US producer price index (PPI) and retail sales data, which could influence Fed expectations and broader risk appetite.<\/p>\n","protected":false},"excerpt":{"rendered":"AUD\/USD weakens amid easing inflation and stronger US jobs data AUD\/USD ended last week lower at 0.6686, down…\n","protected":false},"author":2,"featured_media":151418,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[3],"tags":[42,43,40,38,41,39],"class_list":{"0":"post-237091","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-headlines","8":"tag-headlines","9":"tag-news","10":"tag-top-news","11":"tag-top-stories","12":"tag-topnews","13":"tag-topstories"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/237091","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/comments?post=237091"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/posts\/237091\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media\/151418"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/media?parent=237091"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/categories?post=237091"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/il\/wp-json\/wp\/v2\/tags?post=237091"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}