Australian price statistics for July came in higher than projected. The higher inflation figures heightened chances for a borrowing cost increase by the Reserve Bank of Australia. Major banks ANZ and CBA adjusted their policy expectations after the data. Both ANZ and CBA currently project a policy rate hike in November. Westpac holds a different Reserve Bank of Australia forecast.
The hotter inflation summary and climbing policy tightening expectations boosted the Australian dollar up against the US dollar. The move upward came after the unanticipated economic report.