AUD to USD Forecast: Westpac Leading Index and RBA in Focus
==========
On Wednesday, July 16, the Westpac Leading Index and the RBA will be in focus. Economists forecast the Index to increase by 0.2% in June after stalling in May. The Index gives a snapshot of the Australian economic outlook. Key components include unemployment expectations and consumer sentiment. Upward consumer sentiment trends and improving sentiment toward the labor market could influence the RBA rate path. After a hotter-than-expected Australian Monthly CPI Indicator, a higher-than-expected increase in the Leading Index could leave an RBA rate hike on the table. Bloomberg TV APAC Chief Markets Editor David Ingles said the inflation numbers led to a 50:50 chance of a September Fed rate cut. Westpac Chief Economist Luci Ellis projected a November RBA rate cut. US housing sector data and FOMC Member speeches will draw investor interest. Economists expect housing starts to increase by 3.1% in June after sliding by 5.5% in May. Additionally, economists predict building permits to rise by 0.5% in June after falling by 2.8% in May. Higher-than-expected housing data may boost demand for the US dollar, impacting the AUD/USD pairing. FOMC voting Members Thomas Barkin and Christopher Waller are on the calendar to speak. Views on inflation, the economic outlook, and the timing for a Fed interest rate cut could move the dial. Near-term AUD/USD trends may depend on labor market data. Tighter Aussie labor market conditions could greenlight a Q3 2024 RBA rate hike. Conversely, looser US labor market conditions may fuel speculation about a July Fed rate cut. The AUD/USD remained well above the 50-day and 200-day moving averages, affirming the bullish price signals. An AUD/USD break above the $0.67500 handle would support a move to the $0.67967 resistance level. A breakout from the $0.67967 resistance level could give the bulls a run at the $0.68500 handle. An AUD/USD drop below the $0.67003 support level could give the bears a run at the 50-day EMA. With a 14-period Daily RSI reading of 57.70, the AUD could move above the $0.67967 resistance level before entering overbought territory.
#Aud/usd #WestpacLeadingIndex #Rba #EconomicIndicators #UsHousingSector #Fomc #LaborMarket #PriceAction
https://www.fxempire.com/forecasts/article/aud-to-usd-forecast-westpac-leading-index-and-rba-in-focus-1446509
FX Empire /
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2024-07-17 01:30:48
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wss://relay.damus.ioPublished at
2024-07-17 01:30:48Event JSON
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"content": "AUD to USD Forecast: Westpac Leading Index and RBA in Focus\n==========\n\nOn Wednesday, July 16, the Westpac Leading Index and the RBA will be in focus. Economists forecast the Index to increase by 0.2% in June after stalling in May. The Index gives a snapshot of the Australian economic outlook. Key components include unemployment expectations and consumer sentiment. Upward consumer sentiment trends and improving sentiment toward the labor market could influence the RBA rate path. After a hotter-than-expected Australian Monthly CPI Indicator, a higher-than-expected increase in the Leading Index could leave an RBA rate hike on the table. Bloomberg TV APAC Chief Markets Editor David Ingles said the inflation numbers led to a 50:50 chance of a September Fed rate cut. Westpac Chief Economist Luci Ellis projected a November RBA rate cut. US housing sector data and FOMC Member speeches will draw investor interest. Economists expect housing starts to increase by 3.1% in June after sliding by 5.5% in May. Additionally, economists predict building permits to rise by 0.5% in June after falling by 2.8% in May. Higher-than-expected housing data may boost demand for the US dollar, impacting the AUD/USD pairing. FOMC voting Members Thomas Barkin and Christopher Waller are on the calendar to speak. Views on inflation, the economic outlook, and the timing for a Fed interest rate cut could move the dial. Near-term AUD/USD trends may depend on labor market data. Tighter Aussie labor market conditions could greenlight a Q3 2024 RBA rate hike. Conversely, looser US labor market conditions may fuel speculation about a July Fed rate cut. The AUD/USD remained well above the 50-day and 200-day moving averages, affirming the bullish price signals. An AUD/USD break above the $0.67500 handle would support a move to the $0.67967 resistance level. A breakout from the $0.67967 resistance level could give the bulls a run at the $0.68500 handle. An AUD/USD drop below the $0.67003 support level could give the bears a run at the 50-day EMA. With a 14-period Daily RSI reading of 57.70, the AUD could move above the $0.67967 resistance level before entering overbought territory.\n\n#Aud/usd #WestpacLeadingIndex #Rba #EconomicIndicators #UsHousingSector #Fomc #LaborMarket #PriceAction\n\nhttps://www.fxempire.com/forecasts/article/aud-to-usd-forecast-westpac-leading-index-and-rba-in-focus-1446509",
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