USD and the Australian greenback are the largest beneficiaries in G10 from a de-escalation in US-China commerce tensions, ING’s FX analysts Francesco Pesole and Chris Turner be aware.
Information on the US-China deal could not derail easing plans
“With the USD having to face the fact of the financial injury already dealt, AUD/USD could discover some assist within the coming weeks.”
“Domestically, the deceleration in first-quarter core inflation means the Reserve Financial institution of Australia can ship a broadly anticipated 25bp charge reduce on 20 Might. The information on the US-China deal mustn’t derail easing plans for now, however in all probability argues that market pricing for 4 cuts by year-end is a bit too aggressive.”
