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Aussie In Retreat As Delta Makes Inroads Into Antipodes

AUD

The Aussie retreated in sympathy with its Antipodean cousin NZD on Tuesday, as the Delta variant made its way into Aotearoa, triggering an immediate nationwide lockdown. Domestically, the AUD faced some pressure as participants found some marginally dovish overtones in the minutes from the RBA's latest monetary policy meeting.

  • Australia continues to battle its own outbreak of Covid-19, but any fresh developments across the Tasman will also draw attention alongside RBNZ MPS due today.
  • Australian wage price index comes out today, before focus turns to the monthly labour market report, due Thursday.
  • AUD/USD changes hands at $0.7257 at typing, marginally higher on the day, but still close to the fresh YtD low printed on Tuesday. Bears look for a dip through the 1.382 proj of Feb 25 - Apr 1 - May 10 price swing at $0.7235 towards Nov 13, 2020 low of $0.7222. Conversely, a rally above Aug 11 high of $0.7389 would clear the way to Aug 4 high of $0.7427, the reversal trigger.

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