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AUD and the RBA Hawks: Inflation and retail data support further rate hikes
AUD had a brutish 2022, cratering from near 0.76 at the start of April to 0.62 in October. Stronger than expected inflation and retail sales has helped buoy AUD from around 0.67 at the start of last week to within spitting distance of 0.6950 (Monday). Helped by strong South China Sea gusts: China’s pull-out from zero-tolerance Covid lock-down to ‘store open’ is shockingly abrupt. How to separate the stronger OZ domestic data from a Chinese re-open? Around lunchtime AUD was 0.01% higher at 0.6894; DXY was 0.15% higher at 103.11; EUR/USD was 0.02% higher at 1.0734; GBP/USD was 0.25% down at 1.211 though USD/JPY ... (full story)