Dollar within narrow range

 

dollar,coin,moneyThe Australian dollar is trading within a narrow range in the absence of any major economic news or data.

At 0700 AEST on Tuesday, the local currency was trading at 93.93 US cents, down from 93.98 cents on Monday.

The Australian dollar traded close to 94 US cents overnight, National Australia Bank senior economist David de Garis said.

“It was a deathly quiet night for markets, with very little for markets to move on,” de Garis said.

“Investors seem to be bracing for the main events later on, in particular US Federal Reserve Chair Janet Yellen’s speaking engagements in front of the US Congress.”

Yellen will begin her testimony on Tuesday night, Australian time.

Investors on Tuesday would also be watching out for the minutes of the Reserve Bank of Australia’s July board meeting, to be released at 1130 AEST.

The minutes are usually a market moving event but may not be in July, de Garis said.

“Since the board meeting, we’ve already had a major economic update address from RBA governor Stevens in Hobart and this past weekend’s Weekend Australian interview, so the minutes are likely to come with little fanfare,” he said.

AAP

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