AUD deepened its decline. Overview for 28.02.2024

The Australian dollar, paired with the US dollar, is on a downward trajectory. The current AUDUSD exchange rate stands at 0.6517.

The Aussie dropped to a weekly low against the USD following the release of softer-than-expected inflation data in Australia. The consumer price index stood at a two-year low of 3.4% in January, remaining unchanged compared to December’s data and falling below the forecasted 3.6%.

The minutes of the Reserve Bank of Australia’s previous meeting, published earlier, showed that policymakers are discussing the possibility of further interest rate hikes. Ultimately, they agreed to keep the rate unchanged, considering signs of easing inflation.

The RBA has repeatedly underscored the need for more time to collect and analyse price data, which is necessary to rule out future rate hikes.