A risk on Wall street trading sessions pushes Asia-Pacific markets to a higher open.
The AUD has failed to take advantage of the move that pushed the US Dollar lower against most major currencies. The dovish 25-basis point rate hike from the RBA sent traders into Australian bonds, pushing yields lower.
The resultant effect of that was making the AUD less attractive to global market participants, and with the anticipated heightened rate hikes from the Federal Reserve and other central banks, the AUD/USD looks vulnerable despite an early-week bounce.
Market sentiment are quite steady following a bullish overnight session in New York where the Dow Jones Industrial Average, S&P 500 Index, and Nasdaq-100 Index rose 2.80%, 3.06% and 3.14%, respectively.
Crude oil prices also took an upward turn in the markets. OPEC+ is reportedly mulling a production cut as high as 2 million barrels per day (bpd). Key oil spreads rose sharply, with the 3:2:1 crack spread hitting its highest mark since August.
South Korea’s inflation rate fell to 5.6% last month, September, doing better than the 5.7% consensus forecast. Today, Australia’s August retail sales are due for a final update, and the Reserve Bank of Australia’s chart pack will cross the wires at 00:30 UTC. The Philippines September inflation rate is seen rising to 6.7% from 6.3% in August.