XE Market Analysis: Europe – Oct 28, 2015

The AUD provided the main action in otherwise subdued trade, with the antipodean currency taking a tumble in the wake of sub-forecast Australian inflation data. AUD-USD fell some 80 pips in making a three-week low at 0.7111, taking out its 50-day moving average at 0.7138 on route. Mostly lower stock markets in Asia-Pacific (Japan’s Nikkei was an exception) added to a bearish backdrop for the Aussie dollar. The Australian trimmed mean CPI fell to 2.1% y/y in the September quarter, near the RBA’s 2% – 3% target range.