The Australian Dollar fell against the Greenback after the Australian Central Bank announced its interest rate decision. The AUD/USD currency pair lost 20 base points or 0.26% to be seen trading below the 0.7800 mark. Though, bulls kept the Aussie above aforementioned level during the trading session on Tuesday.
The Reserve Bank of Australia stated that it left its key interest rate unchanged at a historical low of 1.50% for the 14th month in succession. An unchanged reading was widely predicted by experts and economists, with the majority expecting the next rate increase by the middle of 2018 or later. The Bank commented that the economy is likely to accelerate growth pace in the coming years, but warned about weak gains in wages.
| Historical Data Table: RBA Interest Rate Decision | |||||
| Date | 06.06.2017 | 04.07.2017 | 01.08.2017 | 05.09.2017 | 03.10.2017 |
| Actual | 1.50% | 1.50% | 1.50% | 1.50% | 1.50% |
| Forecast | 1.50% | 1.50% | 1.50% | 1.50% | 1.50% |
| Initial Reaction on Main Pairs | |||||
| Open Price | Close Price | % Change | |||
| AUD/JPY | 88.391 | 88.19 | -0.23% | ||
| AUD/USD | 0.78152 | 0.77948 | -0.26% | ||
| EUR/AUD | 1.1712 | 1.17077 | -0.04% | ||
| GBP/AUD | 1.69698 | 1.70046 | 0.21% | ||