The pair had a relatively busy start this morning, opening at $0.8779 and then dropping quickly to $0.8757, as it tracked early weakness in the kiwi rate following New Zealand’s CPI data release. The aussie recovered a bit to $0.8777 and was then pulled back again as kiwi losses deepened. Aussie-dollar retreated further $0.8763 and although it saw sporadic rebounds on aussie-kiwi gains, the broader aussie selling theme eventually pushed the rate down to a $0.8749 low. The release of HSBC’s China flash PMI provided the aussie with another lift back to $0.8774 as aussie-kiwi also continued to rise, the cross peaking at NZ$1.1179 after the early low of NZ$1.1068. Aussie-dollar however failed to make further progress from there and found itself stuck around $0.8760 through the rest of the morning. Aussie-dollar was last at $0.8760. Intermittent demand has been spotted at $0.8750 while the Oct 17 low at $0.8735 serves as support. Offers meanwhile are seen from above $0.8800, at $0.8816/20 and at $0.8840/50. Stops are noted above $0.8820, $0.8860 and $0.8900 today and on the downside below $0.8720, $0.8700 and $0.8640
