Australian Dollar fell after the 3rd Quarter CPI - Forex Market Update, 26th October 2011

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Date: Sat, 5 Nov 2011 Time: 1:43 AM
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Join Chris Advincula, Market Analyst at leading Forex trading broker FX Solutions (http://www.fxsolutions.com/), as he provides a report of activity and news around the Australian Dollar for 26th October 2011.

"Australia's consumer price index rose 0.6 percent in the third quarter s expected by many analysts. The previous quarter remained unchanged at +0.9 percent according the to Bureau of Statistics yesterday.

The Aussie rates fell 70-pips on the initial reaction from 1.0435 to 1.0365 after the data, fueling speculation that the Reserve Bank of Australia may cut interest rates soon. The next RBA meeting is scheduled on Nov. 1. The current RBA Cash Rate stand at 4.75%.

The core infaltion trimmed mean guage rose 0.3% from the previous quarter and 2.3 percent from a year earlier.

The weakening of the Aussie also came stemmed from the market concerns on the outcome of the EU summit meeting today with a number of awaited results from the Bundestag meeting of the German Chancellor Angela Merkel to the many press notes to come later from the summit meeting in Brussels.

The 30-day exponential moving average eased down from 1.0450 to 1.0370."

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FX Solutions is a leading online currency trading broker with a focus on advanced trading technologies, transparency of transaction and unparalleled customer service. FX Solutions serves retail clients, white label partners, institutional trading partners and introducing brokers in over 140 countries.

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