The selling pressure on the AUD/USD pair persists.
The Australian dollar has temporarily halted its descent against the US dollar, with the current AUD/USD exchange rate at 0.6500.
Post the Reserve Bank of Australia's meeting, the AUD witnessed a minor upturn, but the broader scenario remains largely unchanged, with quotes lingering near eleven-week lows.
As anticipated, the interest rate remains at 4.35% per annum. In its remarks, the RBA cautioned that the possibility of further interest rate hikes cannot be dismissed, given the sustained high levels of inflation.
Australian retail sales in Q4 2023 displayed feeble growth, with a meager 0.1% increase, marking the slowest expansion since Q3 2021.
Sales volume recorded a 0.1% year-on-year decline, indicating a lackluster performance. Such lackluster results haven't been seen since the pandemic. The probable cause is the absence of price growth for specific retail goods, with consumers benefiting from discounts on furniture and electronics.