AUD/USD buckles as RBA Lowe signals no rate rise for 2022

• RBA's Lowe gives markets something to think twice about.
• AUD/USD struggles to find demand following Lowe's dovish commentary.

AUD/USD is being pressured as we progress through the Asian session as traders dial back their rate hike bets following comments from the Reserve Bank of Australi's governor, Phillip Lowe. At the time of writing, AUD/USD is giving back some territory around 0.7360 and 0.7368 the high for the day but remains up around 0.20%. 

At the start of the session, AUD/USD was perky in the 0.7340s with the US dollar shedding some of the gains it has picked up in the New York session. Along came the RBA minutes. Despite their dovishness, suggesting rate hikes will not come until wages and jobs have met the RBA's target, likey not until 2024, markets moved in contrary to the rhetoric. The Aussie pairs rallied as if the opposite was said in the minutes and rates remained firmly bid with the 2-year jumping towards the highs of 0.488%. 

Nevertheless, Lowe has spoken. he has stated that the economy would have to turn out very differently for the board to consider hiking rates next year. Consequently, Aussie pairs are now meeting headwinds. 

More to come...