Tag Archives: RBA
RBA delivers a 50bp cut, more than the majority had expected
Mayday holidays impacted activity in Asia but we had enough economic events on the agenda to keep us busy. Most importantly, the RBA slashed the Cash Rate Target by 50bp to 3.75 percent, a sharper move than the market had been expecting with only a 30 percent chance of the larger cut priced in beforehand.
FX Daily Strategist: Europe
US Q1 GDP reaction points the way for this week’s releases Friday’s US Q1 GDP advance estimate yielded a relatively muted reaction from the markets, although it provides some pointers for the likely reaction of the USD to this week’s major releases. US Q1 GDP came posted at 2.2%q/q saar, below market expectations of 2.5%.
RBA Preview – A rate cut, for sure, but a question of how much
The below-forecast releases of Australian inflation data for the first quarter has almost confirmed a rate cut at tomorrow’s RBA meeting – the question now remaining whether the central bank will deliver 25bp or 50bp in cuts.
FX Daily Strategist: US
Weak UK GDP holding back GBP for now – looking to short EURGBP The worse-than-expected UK GDP print was the focal point this morning, against a back drop of rebounding risk appetite and equity markets. The first release of UK Q1 GDP showed that the UK economy contracted 0.2%, weaker than expectations of 0.1% q/q […]
China rate cut rumours circulate in Asia, raising risk appetite
Another session of consolidation for currencies during the Asian session with data releases second-tier. Just prior to the lunch break, rumours circulated of an imminent China rate cut which saw both the Shanghai Composite and risk in general better bid.
Americas FX Daily – USD gives up early gains as equities rally
USD gives up early gains as equities rally What happened overnight – UK inflation comes in a bit firmer than expected, up 3.5%yoy – RBA minutes confirm likelihood of May easing
FX Daily Strategist: Europe
USD reverses course during the NY trading day The New York trading session saw the USD fall against all G10 currencies except the NZD (undermined by comments from PM Key), but the S&P 500 barely budged to close flat. The EUR dipped briefly below 1.30, but surged back above 1.31 with leveraged stops cited as […]
RBA minutes show wait for inflation data before any rate cut
Today’s highlight for the Asian session was the release of the minutes of the April RBA meeting, where we gained further insight into the central bank latest ideas regarding the economy and interest rate policy.
Americas FX Daily – EURUSD dips back below 1.30
EURUSD dips back below 1.30 What happened overnight – China widens USDCNY trading band to +/- 1% from +/-0.5% previously – WSJ reports Moody’s might cuts ratings on 114 European institutions
AUD surges after a very strong Oz employment report
Australia released quite an astounding employment report in the Asian trading day, setting the tone for a better sentiment towards risk which prevailed for the rest of the session. Australia added some 44.0k jobs in March, beating the consensus median estimates of +6.5k by a large margin, well above even the most optimistic forecasts in […]
FX Daily Strategist: Europe
US NFP disappoints; asset market reactions suggest global growth under fresh scrutiny Friday’s disappointing 120k payrolls report confirms the Fed’s fears that the strength in employment over the past few months was partly due to seasonal factors. The number itself is not weak; but it is barely enough to hold the unemployment rate constant with […]
RBA unchanged – a May cut looks likely, subject to inflation data
Japan’s monetary base fell for the first time in more than three years in March, triggering some volatility in USDJPY early in the Asian session. The kneejerk reaction was to sell USDJPY as the possibility of no further easing from the Bank of Japan gained momentum and the pair slumped to an 81.55 low.