There is increase in the monetary pressure over Australian economy once again as the retail sales drowned first time February in this year and this stance stressed the Australian economy to re-consider heir decisions.
As in the last meeting RBA hiked up the interest rates by 4% with an added expectation of further raise in the interest rates but on seeing the position of retails sales figures idea would be dropped as well to manage the economic imbalance.
All the Australians citizens and the forex traders are waiting for their next opinion regarding this concern as the retail sales announced today and it showed the decline of around -1.9% and this reading is lower than the estimations of the experts that was around 0.3%.
This incidence brought down AUD against USD and the currency pair of AUD/USD dropped down to the lowest trade level of 0.9142 at the Asian session after announcement of the declined retail sales reading. This level is estimated to have further decline of around 0.9130 in the coming sessions at the Forex trading platform.
While working at this forex platform it is by now very clear that the retail sales directly indicates about the consumer confidence in the market and the government policies and its declining figure displayed the weakness of the domestic market spending, which is accountable for maximum income generation in Australia and one of the assured reasons behind this decline is the higher unemployment rate that influenced the household income sources and the expenditure influenced automatically.
With this incidence the economy once again come under question and is abide to re-consider the rate of borrowing to support the economy under such trouble.