Opened at $1.0525 in Asia having recovered yesterday from early lows of $1.0423 to highs in NY of $1.0555 as US treasuries rallied. Early pressure on the back of a weaker EUR/USD sent the pair down to $1.0510, before a surprising higher CNY fix sparked some short covering and a bounce to $1.0552. Aussie has since drifted off to $1.0525. AUD/JPY slipped from Y88.01 to Y87.67, before recovering to earlier highs. EUR/AUD fell back from A$1.2441 to A$1.2405 before recovering to A$1.2432. AUD/NZD slipped from NZ$1.2858 to NZ$1.2814 before later balancing around NZ$1.2830. Aussie offers are now in place at $1.0550/60 with some intraday stops just above. Strong demand is seen down at $1.0480/90 from real money, corporates and exporters. Offers also lie at Y88.00 in the AUD/JPY with suggested stops on a break of Y88.10. Bids are seen down at Y87.35/40 with stops through Y87.20.
EasyForexNews Research Team