Australian economy protects its monetary policy

According to the latest declaration, Australian economy protects its monetary policy. The Reserve Bank of Australia did not make a surprise in the market at today's meeting and kept the policy rate at 1.5 %. Following the meeting, the announcement made attention to the improvement in the global economy and it is expected that inflation will recover in 2017. The better conditions in many markets from different countries all around the world is a reality of today. But; If the recovery in Australia is driven by rising energy costs instead of demand, the RBA may continue to maintain its loose monetary policy. When it comes to the Australian economy, the impact of commodity prices on the economy should not be forgotten.

On the other hand, today the foreign trade balance data of the USA will be announced. The effect of this data may be limited but it may lead to volatility increase in Dollar Index. In the Eurozone, investors will follow the revised quarterly growth figures. Developments in the French elections may continue to be effective on the Euro.