Investing.com - The Aussie rebounded on Wednesday as investors looked ahead to any more clarity from People's Bank of China after the yuan was effectively devalued on Tuesday - though the central bank called it a market-based adjustment.
AUD/USD traded at 0.7319, up 0.21%, as the market adjusted to the yuan moves - with China a top trade partner. UDS/JPY changed hands at 125.08, down 0.04%.
In Japan, the BoJ releases the minutes of its July 14-15 board meeting at 0850 Tokyo time (2350 GMT). BoJ Governor Haruhiko Kuroda told reporters after the July meeting that "some board members" were more cautious about their inflation outlook.
At the same time, the July CGPI is also due. The forecast is for a 2.9% year-on-year drop, the fourth straight fall after a 2.4% fall in June.
In Australia, the Westpac-MI Consumer Sentiment is at 1030 Sydney (0030 GMT). In July the index fell 3.2% to the lowest level since December last year. Then the second quarter wage price index at 1130 (0130 GMT). Expectations are for a 0.6% quarter-on-quarter rise that would keep year-on-year growth at a record low 2.3%.
In the evening, with RBA Dep Gov Philip Lowe due in Perth at 2010 (1010 GMT), on the topic National Wealth, Land Values and Monetary Policy.
China is expected to report, July industrial output, retail sales and fixed asset investment data are all due at 1330 local time (0530 GMT).
The U.S. dollar index, which measures the greenback’s strength against a trade-weighted basket of six major currencies, was up 0.01% at 97.25.
Overnight, the dollar pared losses against the other major currencies in choppy trade on Tuesday, after data showed that U.S. unit labor costs rose more than expected in the second quarter, while non-farm productivity came in below forecasts.
The U.S. Bureau of Labor Statistics reported on Tuesday that unit labor costs increased by0.5% in the three months to June, above forecasts for a gain of 0.1% and following rise of 2.3% in the first quarter.
The report also said that nonfarm business sector labor productivity increased by 1.3% in the second quarter, missing expectations for a gain of 1.6%. The previous quarter’s figure was revised to a drop of 1.1% from a previously reported fall of 3.1%.
The dollar has strengthened earlier in the day, after China devalued the yuan in an attempt to help exporters after a recent spate of disappointing economic data.
The central bank described it as a “one-off depreciation” of nearly 2%, based on a new way of managing the exchange rate that better reflected market forces.