When are the RBA minutes and how might they affect AUD/USD?
Early Tuesday morning, at 00:30 GMT, the Reserve Bank of Australia (RBA) will release the minutes statement of the latest monetary policy meeting held during early-March.
Although Monday’s signals from the central bank, to conduct bond-buying, have cut the importance of the minute statement, the Aussie traders will seek details of the likely Quantitative Easing (QE).
Westpac highlights the importance of the details while saying,
At 11:30 am Syd/8:30am Sing/HK, the RBA minutes for the March meeting will be published, providing additional color around COVID-19 risks and how policy can respond.
On the other hand, TD Securities said,
RBA Minutes of the March Policy Meeting will be published. These are now redundant following RBA Gov Lowe's statement earlier today, suggesting a cut on Thursday is likely. Of more interest from the Minutes will be any discussion on RBA QE ahead of Thursday's announcement.
How could the minutes affect AUD/USD?
While a sustained favor to act by the current risks emanating from the coronavirus (COVID-19) could keep the Aussie pair under pressure, any signals for the use of unconventional policy tools might be more favorable to the Bears.
Technically, the pair sellers are catching a breath around 0.6100 mark ahead of targeting 0.6000 psychological magnet. On the upside, The monthly support-turned-resistance around 0.6185 acts as the immediate resistance.
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About the RBA minutes
The minutes of the Reserve Bank of Australia meetings are published two weeks after the interest rate decision. The minutes give a full account of the policy discussion, including differences of view. They also record the votes of the individual members of the Committee. Generally speaking, if the RBA is hawkish about the inflationary outlook for the economy, then the markets see a higher possibility of a rate increase, and that is positive for the AUD.