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Sep 13 - 05:55 AM

AUD/USD - Scales One-Week Peak On 50 Bps Fed Rate Cut Risk

By Rob Howard  —  Sep 13 - 04:05 AM
  • AUD/USD rose to one-week high of 0.6733 in Asia; 0.6714 is subsequent low

  • Ascent to 0.6733 spurred by higher risk of 50 bps Fed rate cut next week

  • Higher risk of half-point Fed cut due to WSJ, FT reports and Dudley view

  • Markets currently see 43% chance of 50 bps cut on Sept 18 FEDWATCH

  • Chance of 50 bps cut next week was only 13% after US CPI data Wednesday

  • 0.6622 was AUD/USD four-week low Wednesday. 0.6700 is now a support point

Source:
Refinitiv IFR Research/Market Commentary

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