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  • AUD/USD loses some intraday gains as the US Dollar rises strongly.
  • Aussie’s hot CPI report for May has prompted RBA rate-hike bets.
  • Investors shift focus to the US core PCE Inflation report for May.

    • The AUD/USD pair surrenders some of its intraday gains after reaching to near 0.6690 in Wednesday’s European session. The Aussie asset struggles to extend the rally inspired by the hotter-than-expected Australian monthly Consumer Price Index (CPI) data for May.The data showed that price pressures grew at a robust pace of 4.0% from the estimates of 3.8% and the prior release of 3.6%. As per the inflation report, high prices of fuel, food, electricity and rentals were prompted inflationary pressures.Stubbornly higher Australian inflation data has kept hopes of more rate hikes by the Reserve Bank of Australia (RBA) on table. Currently, the RBA has been maintaining its Official Cash Rate (OCR) at 4.35% from last eight months.Meanwhile, the US Dollar (USD) rises to near the crucial resistance of 106.00 as the Federal Reserve (Fed) continues to support the maintenance of the current interest rate framework for a longer period. The US Dollar Index (DXY), which tracks the Greenback’s value against six major currencies, jumps to near the crucial resistance of 106.00. On Tuesday, Fed Governor Michelle Bowman said interest rates need to remain high for some time to bring inflation under control.Contrary to Fed’s remarks on the interest rate outlook, market participants expect that the Fed will cut interest rates twice this year and will start the policy-normalization process from the September meeting.On the economic front, investors await the United States (US) core Personal Consumption Expenditure Price Index (PCE) data for May, which will be published on Friday.
     AUD/USD

    OVERVIEW Today last price 0.6662 Today Daily Change 0.0015 Today Daily Change % 0.23 Today daily open 0.6647 TRENDS Daily SMA20 0.664 Daily SMA50 0.6602 Daily SMA100 0.6571 Daily SMA200 0.6554 LEVELS Previous Daily High 0.6673 Previous Daily Low 0.6635 Previous Weekly High 0.6679 Previous Weekly Low 0.6585 Previous Monthly High 0.6714 Previous Monthly Low 0.6465 Daily Fibonacci 38.2% 0.665 Daily Fibonacci 61.8% 0.6658 Daily Pivot Point S1 0.6631 Daily Pivot Point S2 0.6614 Daily Pivot Point S3 0.6593 Daily Pivot Point R1 0.6668 Daily Pivot Point R2 0.6689 Daily Pivot Point R3 0.6706

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