The
RBA monetary policy decision and statement is due at 2.30pm Sydney
time, which is 0430 GMT and 0030 US Eastern time. Analysts are almost
evenly split on whether it’ll be a +25bp rate hike or an on-hold
decision. Market pricing is well under 50% probability for a rate
hike. There are previews in the bullet points above. AUD/USD is more
or less unchanged for the session as I post.

On
the data agenda we had the New Zealand Q2 Quarterly Survey of
Business Opinion (QSBO) from the New Zealand Institute of Economic
Research (NZIER). This showed some improvement, with business
confidence rising only marginally. Cost pressures persist. NZD/USD is
not a lot net changed on the session.

The
People’s Bank of China set the reference rate for USD/CNY much
stronger, for CNY, than was expected again today. The Bank seem intent
on capping the rapid recent rise in USD/CNY for now.

From
Japan today we had verbal intervention comments with both the
Finance Ministry’s Vice Finance Minister for International Affairs
Kanda and
his boss, Finance Minister Suzuki, saying Japanese authorities are in
close contact with the US on forex rates. The yen impact was minor
only. USD/JPY dipped briefly under 144.45 and is back above 144.50 as
I update.

More
widely, major forex markets traded in limited ranges through the
session. The US holiday ahead for today sapped interest.

Source: https://www.forexlive.com/news/forexlive-asia-pacific-fx-news-wrap-awaiting-the-reserve-bank-of-australia-decision-20230704/