# RBA unwinds ‘downward pressure’ on Australian dollar

> The Reserve Bank of Australia is unwinding its A$280 billion government bond purchase program, which had lowered long-term borrowing costs by about 0.3 percentage points and contributed to a lower exchange rate. Assistant governor Christopher Kent made the comments on Monday.

- Date: 2022-05-23 · published 2022-05-23T12:00:00.000Z
- Category: macro · region Australia · magnitude low
- Page: https://feedsoft.ai/events/41658-rba-unwinds-downward-pressure-on-australian-dollar
- Commodities: [Australian Dollar (USD per AUD)](https://feedsoft.ai/c/AUDUSD.md)

## Why it matters

Removing the bond-buying support removes a force that had weighed on the Aussie, a mild bullish factor for the currency and a small headwind for Australian export commodity competitiveness.

## Read by commodity

- AUDUSD: bullish ▲

## Sources

- afr.com: https://www.afr.com/policy/economy/rba-unwinds-downward-pressure-on-australian-dollar-20220523-p5ano7

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.