When is Aussie Q2 GDP and how could this affect AUD/USD?

On a busy week for the antipodeans, and after the recent RBA announcements, (on hold), today's Australian Q2 GDP is in focus and is expected to increase 0.9%. 

That would be a rebound from the weather affected Q1 of 0.3% as analysts at Westpac explained who sees a 1.0% rise with domestic demand up 1.2% driven by a +1.0% for consumption with public demand up 2.2%, while inventories subtract 0.6ppts and net exports add 0.3ppts. 

How could it affect AUD/USD

A particular focus from the RBA is the strength of the Aussie at the moment and the recent push through the 0.8000 psychological level is likely to act the traditional jawboning of the currency any time soon by the RBA and possible intervention on further advances much beyond. Markets may well be cautious to ride the bid but the YTD high of 0.8065 is the next target through the earlier high of 0.8026; 0.8163 is the May 2015 high thereafter. To the downside, 0.7920 and 0.7880 come in as first support levels.

Key notes

• AUD/USD analysis: retreating from 1-month high
• AUD/NZD: profit taking to extend to 1.1000 area? - Westpac
• Forex today: risk off, yet high beta's on the bid - go figure?

About Aussie GDP 

The Gross Domestic Product released by the Australian Bureau of Statistics is a measure of the total value of all goods and services produced by Australia. The GDP is considered as a broad measure of the economic activity and health. A rising trend has a positive effect on the AUD, while a falling trend is seen as negative (or bearish) for the AUD.