The Australian dollar is slowly and surely rising from the local bottom which was tested at the beginning of May. Currently it is gaining the levels that triggered recent full-scaled sales. Currently, AUD/USD holds at 0.7427. In the morning on Tuesday the RBA published its last meeting report. It was positive overall and supported the Aussie.
Thus, RBA noted in its report that it expects core inflation to rise. CPI is in uptrend and corresponds to the actual situation. The labor market is the one that needs paying attention to, although it feels good at the moment: its figures are not so decisive and there is anxiety about how the market performs in the future. However, all those aspects are smoothed out by labor market leading indicators.
In addition, the housing market also attracts attention. Its current indicators show significantly different picture while mortgage risks are yet another source of anxiety. In fact, the high spots that RBA stated in its report are of a long-term nature and don’t influence the market significantly as they would in other situation. The market participants do understand this very well and thus the Aussie keeps rising after the report was published.