Aussie opened at $0.9362 this morning after last night’s bounce in US equity markets saw the aussie recover some lost ground on aussie-yen buying with yen crosses gaining ground across the board. Aussie-dollar encountered some mild choppiness early in the session, in part due to action in aussie-kiwi, as the cross briefly trades a NZ$1.0875 high, matching its April 14 high after New Zealand’s CPI data release, resulting in aussie-dollar slip-sliding between $0.9346 and $0.9363. As expected, the market largely ignored the release of Westpac-MI Leading Index and kept its focus on the release of Chinese GDP data. It was holding around $0.9344 before the data and then responded with a rally to $0.9370 high after the release. The pair failed to really hold those gains and sliupped back to $0.9350 soon after as some players noted concerns about the slowdown in growth rates. Aussie-dollar was last at $0.9350, with gains capped by sellers at $0.9380/90, up to $0.9400, with stops then expected on a breakhigher toward $0.9420. A break above last night’s $0.9393 high likely to see the pair re-visit $0.9400 for a move to $0.9425/26 highs traded in the last 3 sessions. The $0.9307 level remains key support with stops noted below $0.9300.
