GBP/AUD – Australian Jobs Market Dented By Delta Variant

#OPINIONLEADER#

 SEP 16, 2021

• UK CPI at 9-year high level
• Australian jobs market dented by Delta variant

Chart 1: GBP/AUD H4 chart

The UK Office of National Statistics (ONS) reported a rise in annual inflation in August to a 9-year high level of 3.2%. As mentioned in this post, the rise in inflation was due to base effect. On the other hand, the Australian employment data released earlier today indicated that the jobs market took a strong hit in August due to the reimposed lockdown in several parts of Australia, losing 146,300 jobs. As a result, GBP/AUD strengthened.

At the moment, GBP/AUD is testing to break above the 1.89 handle. Breaching above this level will present us with buying opportunities of GBP/AUD.

Trade Setup for GBP/AUD (H4)

Buy Stop at 1.8930

Upcoming major news that may impact price movement of GBP/AUD

17 September – UK Retail Sales m/m data release at 1400 (GMT+8)

17 September – Bank of England Consumer Inflation Expectation data release at 1630 (GMT+8)

21 September – Reserve Bank of Australia monetary policy meeting minutes release at 0930 (GMT+8)

23 September – Australian Flash PMI data release at 0700 (GMT+8)

23 September – UK Flash PMI data release at 1630 (GMT+8)

23 September – Bank of England monetary policy announcement at 1900 (GMT+8)