Tag Archives: RBA
FX Daily Strategist: Europe
Quarter-end flows impact bond markets more than FX After all the hype of some potentially dramatic end of month/quarter/Japan fiscal year-end flows, Friday went out with a whimper not a bang. The USD was mixed on the day, equities modestly firmer and bonds weaker (and much weaker into the close, to the consternation of many […]
Risk higher as Asia mulls strong headline PMI data from China
Risk appetite exploded higher at the start of Asian trading today after China announced some stellar (or should we say unbelievable!) PMI data for March yesterday. The official China PMI rose to 53.1 from 51.0 (50.8 expected) and was the fastest pace of expansion in 12 months and the fourth consecutive month above the key […]
RBA upbeat on stability of local banking system; AUD top-heavy
The RBA’s Financial Stability Overview painted a quite upbeat picture of the local banking system and, in a similar vein to member Debelle’s speech yesterday, offered assurance that the system was well-capitalized and well-positioned to meet the requirements of the Basel III accord.
FX Daily Strategist: Europe
Bernanke drive the USD lower, equities higher – but Treasury market is less impressed While the German IFO and a more positive outlook for this week’s Eurogroup meeting may have laid the groundwork, it was a dovish take on the US labour market from the Fed Chairman that had the greatest effect yesterday.
Bernanke puts a new sets of skids under the dollar, for now
Early in the Asian session RBA’s Debelle gave an additional prop to the AUD’s revival overnight by saying that the AUD is in the “right balance” relative to the (near record high) terms of trade while adding that Australia’s mortgage rates are about where the central bank wants them to be.
FX Focus: AUD outlook – Two sides of the same coin
* We recently lowered our AUD/USD forecast path (Emerging Markets Quarterly: Repositioning, not playing defence, 20 March 2012) and now expect AUD/USD to trade in a 1.04-1.07 range over the next 12 months. This is consistent with our technical strategists’ expectation of AUD/USD remaining in a 1.01-1.10 range over the next 6-8 months.
FX Daily Strategist: Europe
Weaker US housing data sees USD stronger? FX market still struggling for direction FX markets on Wednesday continued to reflect a lack of conviction. Existing home sales disappointed, but despite the resulting rally in US Treasuries, USD finished stronger against most G10 currencies, gaining most against AUD – although, as would be expected given the […]
FX Daily Strategist: Europe
Paradigm Lost? Treasury sell-off fails to support USD Just when the FX market was settling into its new paradigm of bond-yield watching, the spectacle of US Treasury yields shooting higher in the NY afternoon while the dollar heads lower is cause for some fresh soul-searching.
RBA Keeps Rates Unchanged At 4.25%
Australia’s central bank kept interest rates steady on Tuesday as fears linked to the outlook for the world economy eased a few notches through February. The cash rate target was held at 4.25% as expected by most economists. The cash rate was cut twice in the concluding months of 2011.
RBA Statement On Monetary Policy
At its meeting today, the Board decided to leave the cash rate unchanged at 4.25%. Information becoming available since the December meeting confirms that economic conditions in Europe were weakening late last year, with risks still skewed to the downside. Reflecting this, most forecasters have lowered their forecasts for world GDP growth this year to […]
EU Treaty change: Its all about timing
“Life is about timing” – Carl Lewis Australian GDP data overnight was higher than expected with the Q3 growth comparison rising 1.0 percent from the previous quarter (+2.5% year on year), in addition to an upward revision to the Q2 data itself.
FX Daily Strategist: Europe London – 05 December 2011
EURUSD defies an okay US payrolls report… Taking revisions into account, Friday’s US payrolls report was on the strong side of expectations, but markets chose to focus on the fact that much of the fall in the unemployment rate was the result of of a 0.2% drop in the labour participation rate rather than from […]