The Trump administration announced a 25% tariff on aluminum and steel for all countries. However, Australia’s trade minister said that Australia has a trade deficit with the US, so the tariff is unnecessary.
During Trump’s first term, Australia was exempt from these tariffs. This time, the impact on Australia is also expected to be small.
However, the Reserve Bank of Australia (RBA) is expected to cut interest rates next week, which may limit the rise of the Australian dollar. At the same time, expectations of an early interest rate hike by the Bank of Japan could also keep AUD/JPY from going higher.
Expected AUD/JPY Range: 96.00 – 95.00
Note: The above information does not guarantee any profits. Please make your own decisions before trading.