In The News 🌏 – Market Conditions and what to look out for this week 🗓️.

AUD/USD

• US President Joe Biden's exit from the presidential race increased the odds for former President Donald Trump and boosted investors' appetite for riskier assets.

• Experts argued that Biden’s decision would increase market volatility, though the market reaction has been limited so far.

• Peter Earle, senior economist at the American Institute for Economic Research, stated that investors may seek a safe haven until they can assess Biden’s replacement policies.

• Dovish Fed expectations prompted fresh US Dollar selling.

• Pairs where AUD is the weaker currency, such as EURAUD and GBPAUD, are now in focus.

Currency Market Update 7th August 2023

Last week, the Australian dollar faced challenges against major currency pairs. The AUD/USD lost 2.11% due to a strong US dollar and positive economic data. The AUD/EUR declined 2.32% as the European Central Bank signaled a potential policy pause

Currency Update 9th August by Send Payments - Ian Cragg

THE EXPATRIATE International Currency Update by our Specialist Ian Cragg from Send Payments.

The AUD had a mixed week against major currencies. It started the week on a strong note with the RBA hiking rates by 50bps. However, market sentiment quickly shifted and the AUD fell after it was clear that the RBA was moving to a more dovish policy stance. This was compounded by a strong USD, which led to a flight to safety and away from risk currencies like the AUD.