• AUD/USD +0.4% from Tue 0.7209 low despite concerning U.S. inflation update

• U.S. Apr core CPI +0.4% m/m, +2.8% y/y (Reuters poll consensus +0.3%, +2.7%)

• WTI +4.1% as stockpile depletion fears mount & Iran peace hopes fade

• AU budget delivers investment tax changes, scant market impact short term

• AU Q1 wage price index due Wed, will gauge stubborn services inflation

• AUD pushing upper hourly Bollinger band, topside momentum likely to slow

• Overnight range 0.7209-435, support 0.7100 0.6834, resistance 0.7283 0.7661
U.S. Inflation and Interest Rates


AUD Hourly Bollinger Study & DXY Daily 55-DMA

(James Connell is a Reuters market analyst. The views expressed are his own.)