ForexLive Asia-Pacific FX news wrap: AUD dropped after CPI inflation data

Bets on a February RBA rate cut are solidfying after the inflation data earlierFX option expiries for Wednesday, January 29, 2025, 10am New York cutGoldman Sachs expects 6 Bank of England interest rate cuts by mid-2026Euro may see a slight uptick if the European Central Bank is cautious this weekWestpac changes its forecast to a February Reserve Bank of Australia interest rate cutOrderFlow Intel: 🤖💡AI-Powered Bitcoin Futures Analysis for TodayAustralian Treasurer Chalmers says worst of inflation is pastAustralian inflation data: RBA rate cut expectations rise higherAUD/USD has dropped after the better than expected Q4 inflation data from AustraliaNasdaq Futures AnalysisAustralian Q4 2024 inflation headline 2.4% y/y (expected 2.5%)Australian inflation data due soon - RBA rate cut speculation for February meetingReminder - China, Hong Kong and Singapore are all on holiday todayBoJ December 2024 meeting minutes express caution - January brought change thoughGoogle reclassifies U.S. as ‘sensitive country’ alongside China, RussiaFederal Reserve preview: Deutsche Bank says Fed to signal a March rate cut is unlikelyOne for the Tesla (TSLA) traders: Honda look at launching sub-$30,000 EV in North AmericaCommerzbank raised its gold price forecast for the end of Q1 2025 to $2,700 (prior 2600)U.S. Navy bans use of DeepSeek AI - citing ‘security and ethical concerns’RBNZ's Conway says policy committee confident inflation will abateTrump will pay federal workers through to September 30 if they resign by February 6Oil - private survey of inventory shows a headline crude oil build less than expectedThe noob heading to the BOJ monetary policy board is a big supporter of higher ratesSolid rebound for the broader indices todayForexlive Americas FX news wrap: Tech bounces back ahead of the FOMCTrade ideas thread - Wednesday, 29 January, insightful charts, technical analysis, ideasItwas a more subdued day in Asia today with no tariff talk like we hadon Monday and Tuesday this week to spur outsized volatility.TheBank of Japan published the minutes of its December 2024 meeting.Members expressed various shades of confidence in the outlook forinflation, wages, the economy, and monetary policy. But, for us heretoday on January 29 the meaning of it all was moot (having little orno practical relevance). After all, the Bank of Japan raised itsshort-term rates just last week, at its January 24 meeting. FromAustralia, we had Q4 inflation data, which came in lower than in Q3,below market central estimates, and below Reserve Bank of Australiaprojections. headlineinflation fell to 2.4%, just under the midpoint of the RBA’s 2 –3% target bandthetrimmed mean, a measure of core, or underlying, inflation came in at3.2% y/y, which while still above the top of the band was a 3-yearlow (0.5% y/y)a caveat to all this is that some of the inflation moderation was driven by government rebates on electricity and other subsidies, which may reverse once they expireThiswas all encouraging and indeed has prompted a repricing of a ReserveBank of Australia February RBA cut to around 90% now. AUD/USDwas marked lower on the data release and has seen a small retracementsince. MajorFX, otherwise, traded in a subdued fashion. China,Singapore and Hong Kong were all on holiday today for Lunar New Year.Happy New Year to those celebrating! This article was written by Eamonn Sheridan at www.forexlive.com.