Investing.com – The Australian dollar rallied to a record high against its U.S. counterpart on Wednesday, after better-than-expected inflation data added to expectations for a near-term rate hike by the Reserve Bank of Australia.
AUD/USD hit 1.1062 during late Asian trade, the pair’s highest since it was floated in December 1985; the pair subsequently consolidated at 1.1048, surging 0.84%.
The pair was likely to find support at 1.0820, Tuesday’s low and short-term resistance at 1.1100.
The Australian Bureau of Statistics said that consumer price inflation rose 0.9% in the three months to June, after rising by 1.6% in the preceding quarter. Analysts had expected CPI to rise 0.7% in the last quarter.
CPI accelerated at an annualized rate of 3.6%, surpassing expectations for a 3.4% gain and recorded the biggest annual increase since 2008.
The report said the increase was for the most part due to more expensive food, clothing, transportation and healthcare.
The Aussie was also higher against the yen, with AUD/JPY rising 0.65% to hit 85.88.
Later in the day, the U.S. was to publish official data on durable goods orders, while the U.S. Federal Reserve was to publish its Beige Book.
AUD/USD hit 1.1062 during late Asian trade, the pair’s highest since it was floated in December 1985; the pair subsequently consolidated at 1.1048, surging 0.84%.
The pair was likely to find support at 1.0820, Tuesday’s low and short-term resistance at 1.1100.
The Australian Bureau of Statistics said that consumer price inflation rose 0.9% in the three months to June, after rising by 1.6% in the preceding quarter. Analysts had expected CPI to rise 0.7% in the last quarter.
CPI accelerated at an annualized rate of 3.6%, surpassing expectations for a 3.4% gain and recorded the biggest annual increase since 2008.
The report said the increase was for the most part due to more expensive food, clothing, transportation and healthcare.
The Aussie was also higher against the yen, with AUD/JPY rising 0.65% to hit 85.88.
Later in the day, the U.S. was to publish official data on durable goods orders, while the U.S. Federal Reserve was to publish its Beige Book.