The pair opened in Sydney at $0.7800, after offshore markets held the AUD in a narrow $0.7787 to $0.7816 range, a slightly stronger US dollar the main theme. There were hardly any major releases scheduled today although some early attention was on the weekly ANZ-Roy Morgan consumer confidence index. The aussie however, brushed off the results and stayed unmoved in an uninspiring $0.7798 to $0.7807 range. That range tightened up to $0.7800/07 later in the morning as flows slowed to a trickle. The release of the RBNZ survey showing a drop in inflation expectations roused the market as the NZ dollar fell sharply. Aussie-kiwi saw a sharp move higher, from NZ$1.0355 to a NZ$1.0403 high and that briefly lifted aussie-dollar back up to the $0.7807 high. Aussie-dollar turned back down late in the session as the kiwi weakness overwhelmed any positive aussie response. Aussie-dollar fell to a late session low of $0.7763 and last trades at $0.7775. Traders note light importer offers between $0.7820 to $0.7830, macro accounts have offers around $0.7850 and stops lie above $0.7855, some demand from the exporter community is seen below $0.7780.
