It is the second trading day in a row that the Australian dollar (AUD) has climbed above 0.7700 against the US dollar (USD) on the graph, ahead of the release of consumer inflation expectation data.

The Melbourne Institute will release the consumer inflation expectations on June 10, 2021. In addition, customers’ predictions for possible growth in the future year are displayed at the Melbourne Institute. The more rigid the criteria, the greater the impact on the likelihood of an RBA rate hike.

As per economists’ expectations, the consumer inflation expectation remained 3.6% this month compared to 3.5% the month before data.

Since the middle of April, the AUD/USD currency value has been in a constant state of change. If it rises one day, it will fall the next day, as evidenced by the bearish candle.

On the other hand, there is upcoming news of the US goods and services trade balance, which might further decrease the value of AUD/USD.

The Bureau of Economic Analysis (BEA) and the US Census Bureau will release the US goods and services trade Balance data on June 08. 2021. According to economists predictions, It might raise its worth from $-74.4 B to $-69 B in April.

The goods and services trade balance is the difference between total goods and services exports and imports. A positive number indicates a trade surplus, whereas a negative number indicates a trade deficit. If there is consistent demand for US exports, the trade balance will improve, which will benefit the USD.

Conclusion

Because the AUD/USD pair has been in a bearish trend for the past two months, a purchasing strategy would be more appropriate for short-medium trading.