Australian Dollar Forecast: Effects of Trade Data on AUD/USD Near $0.69500
Aussie Trade Data in Focus
Australian dollar fluctuations will likely be influenced by Aussie trade data on Thursday, October 3. Economists predict a narrowed trade surplus from A$6.009 billion in July to A$5.500 billion in August. Should trade figures weaken, expectations for a Q4 2024 RBA rate cut could strengthen. With over 50% of Australia's GDP tied to trade, any downturn may adversely affect the Australian labor market.
Impacts on RBA Rate Decision
The RBA, according to Governor Michele Bullock, faces challenges with consumption trends, raising the likelihood of a rate cut if inflation remains subdued. This potential dovish shift in policy could push the AUD/USD pair below $0.68500.
US Economic Indicators
Attention will also be on US labor and services data. Initial jobless claims are expected to rise, while the ISM Services PMI may register a slight increase. Unexpected shifts could shift market sentiment significantly.
Short-Term AUD/USD Forecast
The Australian dollar’s near-term trajectory depends on upcoming economic releases. Traders should stay updated on key data and expert insights that could reshape their strategies amidst these developments.
This article was prepared using information from open sources in accordance with the principles of Ethical Policy. The editorial team is not responsible for absolute accuracy, as it relies on data from the sources referenced.