AUD/USD posts gain, yet dive below 0.6500 amid Aussie CPI, ahead of US GDP

• AUD/USD retreats from a peak of 0.6529 following an unexpected surge in Australian inflation figures.
• The US Dollar Index edges higher, influenced by solid US economic indicators and investor caution ahead of key GDP report.
• Despite a strong Q1 inflation report suggesting robust Australian economic activity, expectations for an RBA rate cut linger among analysts.

The Aussie Dollar finished Wednesday’s session with decent gains of 0.15% against the US Dollar, yet it retreated from weekly highs of 0.6529, which it hit after a hotter-than-expected inflation report. Economic data from the United States (US) boosted the Greenback, which, according to the US Dollar Index (DXY), gained 0.13%, up to 105.82. As the Asian session begins, the AUD/USD trades at 0.6495. down 0.02%.

AUD/USD retreats below 0.6500 amid strong US data

Wall Street was mixed on Wednesday after META reported earnings, which were better than expected but weighed on the US equity markets. Investors remain cautious ahead of the release of the US Gross Domestic Product (GDP) report on Thursday, which is expected to show the largest economy in the world grew 2.5% QoQ in the first quarter this year. At the same time, Initial Jobless Claims are expected to increase from 212K to 214K.