Even with the latest developments out of Australia earlier today, AUD/USD is finding it tough to make any meaningful push higher.
The pair continues to trade around 0.7030 on the day, once again knocking on the door of key technical resistance near its 100-day and 200-day moving averages
The latest Australia CPI report was hotter than expected , with trimmed mean inflation rising to 3.7% against expectations of 3.6%. That certainly doesn’t make the RBA’s job any easier, especially with oil prices adding to inflation pressures. And RBA governor Bullock didn’t exactly mince her words either, warning that inflation remains “far too high” .
Her comments pretty much reinforces the narrative that the central bank is almost certainly poised for another rate hike next week, giving the aussie a fundamental reason to hold firmer. Or at least that is the case in theory. But looking at the AUD/USD chart, buyers still have some convincing to do.