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The central bank of Australia delivered a back-to-back increase as the spike in energy prices can push inflation higher, but the Aussie was volatile as four of nine voters opted for a hold.
Ahead of next week's Fed and BoJ decisions, the pair rises to nearly two-year highs as the greenback attracts risk-off demand while the yen fails to benefit.
Strong Australian growth boosts chances of another RBA rate hike but the pair remains under pressure on safe-haven demand for the US dollar.
The pair rises as fiscal worries and growth risks from higher oil prices prevent the Yen from benefiting from risk aversion, while the greenback finds demand.
The pair slides as New Zealand’s central bank keeps interest rates at 2.25% and maintains an easy policy stance.
The Japan election results can weigh on the pair, and the strong US jobs report raises the bar for Fed cuts, but the dollar continues to face challenges from mounting deficits and macro uncertainty.
The pair slips as the Yen firms on political clarity and FX intervention risks, but prospects of bold fiscal stimulus under PM Takaichi could weigh on the Japanese currency.
The pair extends its gains on Yen weakness from fiscal worries tied to the elections and a greenback recovery, but dowside risks linger.
Australia’s central bank raised rates for the first time since late 2023 amid strengthening price pressures, sending the Aussie higher.
The pair reached new highs after firm Australian inflation, but erases gains as the greenbacks recovers, with rate decisions by the Fed and the RBA looming.
The pair drops as markets anticipate FX intervention, after Japanese Prime Minister Takaichi vowed to act against speculative moves, while broader US dollar weakness adds pressure.
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