The Australian dollar slipped further on Tuesday as investors expect a monetary policy announcement later in the assembly. The Aussie climbed down 0.2% to $0.7525, though it stayed within the parameter of Monday’s more than one-week high of $0.7545.
The Reserve Bank of Australia is highly anticipated to postpone an opportunity to ease again as it waits second quarter consumer price data to be released on July 27. However, financial markets are expecting a cut next month due to the low inflation and uncertainty brought by the Brexit.
Economists unanimously predicted that the RBA will hold the cash rate steady at a record low of 1.75%, according to a Reuters survey. A chance of policy freezing after no clear winner was announced from a weekend election may also impact the Aussie.
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