All of the com pair’s lost ground Tuesday as prices for crude, oil and other highly correlated commodities eased through the European and US sessions. Elsewhere, only the Australian docket was presenting substantial scheduled event risk. Action picked up in the Asian session with the release of the first quarter current account number.
The broadest indicator for trading activity reported a smaller than expected increase in the deficit to A$19.5 billion. Far more important for the high-yielding currency was the RBA’s rate decision. Coming as little surprise, the central bank held rates at its 12-year high 7.25 percent for a third consecutive meeting while maintaining their concern for high inflation and cooling growth. The Aussie’s docket will finally taper off after the upcoming first quarter GDP release.