The combination of a jump in the Aussie current account deficit and an ambiguous statement from the RBA have helped undermine AUD after a run-up toward the key 0.85 level in recent sessions. The RBA stopped short of signaling a hike in October, as some had hoped.
“Underlying inflation should continue to moderate in the near term, but the likelihood of inflation being persistently below the target now looks low”, Governor Stevens said in a statement.
Sounds like they are watchful, but not yet ready to pull the trigger.
0.8335 is important support on pullbacks near-term. Stops are eyed in the 0.8325/30 region. More signficant support lies down in the 0.82 region, beginning around 0.8235.