Aussie should benefit again as soon as the recession in the US becomes more apparent – Commerzbank
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Aussie should benefit again as soon as the recession in the US becomes more apparent – Commerzbank


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With the Australian Dollar recently suffering from the general strength of the US Dollar, economists at Commerzbank have been discussing the AUD/USD outlook prior to the Australian labour market figures for August. A labour market report that meets or exceeds expectations should be a show of confidence in the policy decisions worked on by the Reserve Bank Australia (RBA). The RBA had mentioned that it would keep its focus on the historically tight labour market while pushing to bring inflation closer to its target.

Should inflation continue to decrease against its target, as our economists predict, there is evidence to suggest the RBA has made the correct decision in keeping the interest rate pause going. As soon as the US recession becomes evident, as the economists predict, the Aussie should thus benefit from this.

It is important for those considering trades in the AUD/USD to be aware of the risks associated with their decision. The contents in this article should not be seen as anything more than informative, while one should still do their own thorough research prior to investing.

Although much of this article looks at the future of the AUD/USD, investors also need to be mindful of the fact that past performance is no indication of future results, and all investments come with risk. That being said, the AUD/USD outlook discussed by the economists at Commerzbank provides a point of reference for those looking to trade the financial markets

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