• Dragostin Kozhuharov

RBA Lowers Interest Rates

The Australian Central Bank lowered interest rates to 0.5%, a new record low. It also stated that it's prepared to further support the economy amid the corona virus outbreak. The statement highlighted that the virus is affecting the economy, more specifically - the education and travel sectors. The initial reaction in FX markets was a stronger AUD.

AUDCAD 15min Chart


As you can see on the Chart at the time of the release, the AUDCAD moved up towards the top of the recent intraday range (between 0.86871 and 0.87649) trading as high as 0.87512, and after that initial move it started to trade sideways.


Indices


For the AUS200, the initial reaction was a move lower, which then continued in sympathy with other indices.


The Calendar for AUD pairs is going to remain busy this week, with the next release being GDP (QoQ) for Q4.

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