AUDJPY

Australian dollar / Japanese yen

At 3 of its 10 meetings in 2022, the Reserve Bank of Australia made rate decisions that surprised market participants. Traders are now cautious and trying to anticipate all possible rate levels before Tuesday's final decision.

Japan's manufacturing activity contracted in November for the first time in nearly two years, according to a private study.

Sally Auld, director of investments at JBWere Ltd said that the central bank of Australia is signaling a higher tolerance for inflation, which is very risky.

Australia's leading bank, Commonwealth Bank, is of the opinion that the tightening cycle is coming to its peak, while Goldman Sachs Group Inc. believes that the increase in rates will continue until next year.

On Thursday, Bank of Japan board member Asahi Noguchi said that the country's economy is facing the target of achieving the bank's goal of 2% sustainable inflation.