{"id":38446,"date":"2026-01-07T15:06:33","date_gmt":"2026-01-07T07:06:33","guid":{"rendered":"https:\/\/www.vtmarkets.com\/?p=38446"},"modified":"2026-01-07T15:06:33","modified_gmt":"2026-01-07T07:06:33","slug":"australian-dollar-firms-as-rba-strikes-a-hawkish-note","status":"publish","type":"post","link":"https:\/\/www.vtmarkets.com\/en-ca\/analysis\/australian-dollar-firms-as-rba-strikes-a-hawkish-note\/","title":{"rendered":"Australian Dollar Firms as RBA strikes a Hawkish Note"},"content":{"rendered":"\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/codeMjJlMTY5NWFlNWRmMzA2NTdjZGVmMGVkOTc1N2IzMGRfdktSMVlzbFlqN0dUT1ZxTUsyaEd6WnRvVlpFZDJETHZfVG9rZW46SlF0S2JHZzB5b3lSdkV4UjNGRGxUcUlUZ2FmXzE3Njc3Njc3MTQ6MTc2Nzc3MTMxNF9WNA.jpg\" alt=\"\" \/><\/figure>\n\n\n\n<p><strong>Key Points:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Australian Dollar has recovered its daily losses amid hawkish RBA tone.<\/li>\n\n\n\n<li>Australia\u2019s CPI eased to 3.4% YoY in November, below forecasts but still above the RBA\u2019s target.<\/li>\n<\/ul>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\" \/>\n\n\n\n<p>The Australian Dollar strengthened against the US Dollar on Wednesday, extending its rally for a fourth consecutive session. However, the AUD\/USD pair came under pressure after Australia\u2019s November Consumer Price Index data was released.<\/p>\n\n\n\n<p>Australia\u2019s Consumer Price Index rose 3.4% year on year in November, easing from 3.8% in October, data from the Australian Bureau of Statistics showed on Wednesday. The figure fell short of market expectations of 3.7% but remained above the Reserve Bank of Australia\u2019s 2-3% per cent target. It marked the lowest inflation rate since August, with housing costs rising at their slowest pace in three months.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Australia\u2019s core inflation slowed in November, supporting the case for the Reserve Bank to keep interest rates unchanged for now as it assesses the impact of earlier policy easing <a href=\"https:\/\/t.co\/etxOnnJ7BQ\">https:\/\/t.co\/etxOnnJ7BQ<\/a><\/p>&mdash; Bloomberg (@business) <a href=\"https:\/\/twitter.com\/business\/status\/2008701196589019254?ref_src=twsrc%5Etfw\">January 7, 2026<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<p>Australia\u2019s Consumer Price Index was flat on a month-on-month basis in November, matching October\u2019s reading. Meanwhile, the Reserve Bank of Australia\u2019s trimmed mean CPI rose 0.3% on the month and 3.2% year on year. Separately, seasonally adjusted building approvals surged 15.2% in November to a near four-year high of 18,406 units, rebounding from a downwardly revised 6.1% decline previously. On an annual basis, approvals jumped 20.2%, reversing a revised 1.1% fall in October.<\/p>\n\n\n\n<figure class=\"wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter\"><div class=\"wp-block-embed__wrapper\">\n<blockquote class=\"twitter-tweet\" data-width=\"500\" data-dnt=\"true\"><p lang=\"en\" dir=\"ltr\">Australia&#39;s inflation slows in November, but core sticky <a href=\"https:\/\/t.co\/h4PM80WRNO\">https:\/\/t.co\/h4PM80WRNO<\/a><\/p>&mdash; Reuters Asia (@ReutersAsia) <a href=\"https:\/\/twitter.com\/ReutersAsia\/status\/2008720383558422976?ref_src=twsrc%5Etfw\">January 7, 2026<\/a><\/blockquote><script async src=\"https:\/\/platform.twitter.com\/widgets.js\" charset=\"utf-8\"><\/script>\n<\/div><\/figure>\n\n\n\n<h2 class=\"wp-block-heading\">Technical Analysis<\/h2>\n\n\n\n<p>AUD\/USD is trading around <strong>0.6750 <\/strong>on Wednesday. Technical analysis of the daily chart shows the pair continuing to move higher within an ascending channel, signalling a sustained bullish bias.<\/p>\n\n\n\n<p>The moving averages on the chart are aligning in favour of a bullish trend, with the widening gap between them signalling strengthening upward momentum. Prices may continue to move higher as long as the moving averages remain pointed to the upside.<\/p>\n\n\n\n<figure class=\"wp-block-image\"><img decoding=\"async\" src=\"https:\/\/www.vtmarkets.com\/en-ca\/wp-content\/uploads\/sites\/13\/2026\/03\/codeN2M2NmY5MWEzNWVhMTY1NTQ0NGZmOTVkZTg5MWRiZmZfRDVReXBJOEZtVHhlY2RDbUhNVHQ0ZkpDTHBQU2JGWEtfVG9rZW46SFV0WGJnMzljb0dlRlR4SEtydWxKblFVZ3ljXzE3Njc3Njc3MTQ6MTc2Nzc3MTMxNF9WNA.jpg\" alt=\"\" \/><\/figure>\n\n\n\n<p>The MACD indicator is also holding firmly<strong> above the 50 level<\/strong>, reinforcing the bullish trend, while the histogram continues to print strong positive bars. The next resistance for AUD\/USD is seen near 0.6800, with a high likelihood of the pair testing this level unless there is a shift in underlying fundamentals.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\">Cautious Outlook as US PMI Awaits<\/h2>\n\n\n\n<p>Traders are awaiting US economic data that could shape expectations for Federal Reserve policy, with the ISM Services Purchasing Managers\u2019 Index and JOLTS job openings in focus later in the day. Stronger-than-expected results could bolster the US Dollar, potentially weighing on AUD\u2019s bullish momentum.<\/p>\n\n\n\n<p><strong>Learn more about <\/strong><strong><a href=\"https:\/\/www.vtmarkets.com\/markets\/\">trading<\/a><\/strong><strong> on <\/strong><strong><a href=\"http:\/\/www.vtmarkets.com\/trade-now\">VT Markets<\/a><\/strong><strong>.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Australian Dollar rises against the US Dollar on Wednesday, continuing its winning streak for the fourth successive session. | VT Markets<\/p>\n","protected":false},"author":67,"featured_media":38450,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[31],"tags":[73,84,9,85,81],"class_list":["post-38446","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analysis","tag-aud","tag-australia","tag-dollar","tag-united-states","tag-usd"],"acf":{"acf_article_selection_author":""},"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/38446","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/users\/67"}],"replies":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/comments?post=38446"}],"version-history":[{"count":0,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/posts\/38446\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media\/38450"}],"wp:attachment":[{"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/media?parent=38446"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/categories?post=38446"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.vtmarkets.com\/en-ca\/wp-json\/wp\/v2\/tags?post=38446"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}