The Australian dollar rose today as leading indicators advanced, overshadowing the Reserve Bank of Australia monetary policy minutes that were rather dovish.
The Conference Board Leading Economic Index for Australia rose 0.3 percent in September. The increase followed the 0.2 percent drop in the previous month.
The RBA was rather pessimistic in its policy minutes, saying that “growth in the near term would be constrained”. Additionally, the central bank complained that “the Australian dollar, while below its level earlier in the year, remained uncomfortably high”. As a result, policy makers decided to keep the main interest rate steady, but “not to close off the possibility of reducing it further”.
AUD/USD rose from 0.9375 to 0.9415 and AUD/JPY ticked higher from 93.74 to 94.06 as of 13:16 GMT today. EUR/AUD declined from 1.4401 to 1.4337.
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