Welcome to our daily market update where we help keep you informed on the latest happenings in the world of FX and show you what this means for the Mighty Aussie Dollar.
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Key Data Being Released Today
Malaysia – GDP (+3.3% YoY Expected)
Macro Report
Overnight US CPI outperformed printing 7.5% YoY vs 7.2% expected which really set up the theme for the rest of the trading session. Rates markets continued to price in more hikes with now 1% of hikes priced in by July. Off the back of this, equity markets took at dive led by the tech heavy NASDAQ. The strong USD flame was further stoked by Federal Reserve member Bullard supportive of the 1% rate hikes by July whilst looking for a 0.5% hike in the March meeting alone.
Currencies experienced large trading ranges as the initial USD Bid halted only for the market to shift into Risk On mode which saw AUDUSD trade from 0.7150s also the way to 0.7250s only for the market to trade back to 0.7160.
Interest rate strips across the globe are all much higher now and all eyes will be on the AUD as to whether it can sustain the current level or whether the RBA will once again try to pour cold water on this hot market.
AUD/USD Daily Chart
DXY (USD INDEX) Daily
Major Global Markets
| Currencies | Level | Change (%) |
| AUD/USD | 0.7169 | 0.03 |
| AUD/JPY | 83.151 | 0.01 |
| AUD/CNH | 4.5608 | -0.02 |
| DXY | 95.6920 | 0.21 |
| Rates | Yield (%) | Change (%) |
| US 10 Year | 2.029 | 0.09 |
| Aus 10 year | 2.225 | 0.11 |
| Equities | Level | Change (%) |
| S&P 500 | 4504 | -1.81 |
| NASDAQ | 14706 | -2.33 |
| ASX 200 | 7288 | 0.28 |
| Commodities | Level | Change (%) |
| Iron Ore | 137.5 | 1.44 |
| Gold | 1826.89 | 0.00 |
| Brent Crude oil | 91.41 | -0.14 |