AUD Pressured As RBA Holds Cash Rate Steady

The AUD has been pressured after the RBA held the cash rate steady at 4.10%. The bank noted that some further tightening may be required, and that inflation is too high.

• AUD/USD has firmed off session lows and last prints at $0.6650/55 down ~0.3% today. The pair fell from $0.6685 pre decision and printed a low of $0.6645. Support comes in at $0.6596 the low from June 29 and bear trigger.
• Kiwi is marginally pressured as the move lower in the AUD spilled over. However moves have been limited at this stage and NZD/USD remains well within recent ranges.
• Yen has observed a narrow range today with little follow through on moves. Support comes in at ¥143.29, the low from June 27, and resistance is at ¥145.07 yesterday's high. Junes Monetary Base fell 1% Y/Y.
• Elsewhere in G-10 ranges have been narrow, and moves limited. General liquidity has been hampered by the US holiday.
• Cross asset wise; US Equity futures are little changed and US Tsy futures are a touch firmer. WTI futures are up ~0.5%.
• The docket is thin for the remainder of Tuesday's dealing.