AUD/USD: Breakout extends with CPI surprise – Societe Generale

The Australian core CPI has exceeded expectations, allowing AUD/USD to break out from months of consolidation and approach its 2023 peak. Analysts at Societe Generale suggest this is a very bullish sign for the Australian dollar. Recent data may influence central bank policy and could push for future rate hike scenarios. In this context, AUD/USD may expect further rises. Although crucial support and resistance levels are not specified, the shock from the recent CPI data could significantly alter market sentiment. Traders might increase their risk appetite in light of this positive announcement. Furthermore, attention should be paid to other economic indicators, especially clues regarding the Australian central bank's interest rate policies. The movement of AUD/USD could have spillover effects on the broader market, making it worth watching.