Australia's Q1 2021 GDP growth slows to 1.5-year low, impacting AUD/USD.

Australia's GDP expanded by 2.3% YoY in Q1 2022, slightly below analyst expectations, with private and public gross fixed capital formation being the main drivers of growth. The GDP readings are crucial to the Reserve Bank of Australia's decision-making process for its monetary policy. The RBA raised its benchmark policy rate to 4.1%, an 11-year high, on Tuesday, and Governor Philip Lowe reiterated his position that the central bank will seek to navigate a "narrow path" to preserve labor market improvement and return inflation to its target range.