Australian dollar rallies after data reduces chance of rate cut

SYDNEY, Jan 22 (Reuters) - The Australian dollar AUD=D4 jumped more than half a cent on Wednesday after stronger-than-anticipated inflation data prompted markets to widen the odds of another easing in interest rates.

The Aussie dollar rose to $0.8855, from $0.8803 in early trade, pulling away from a 3-1/2-year trough of $0.8756 set on Monday.

(Reporting by Cecile Lefort; Editing by Paul Tait)

((Cecile.Lefort@thomsonreuters.com)(+61 2 9373-1234)(Reuters Messaging: cecile.lefort.thomsonreuters@reuters.net))

Keywords: MARKETS AUSTRALIA/FOREX