1 Dec 2014
AUD/NZD hits fresh 4-month low below 1.0800
FXStreet (Córdoba) - AUD/NZD extended the decline during the American session and bottomed at 1.0761, reaching a fresh 6-month low and remains below 1.0800 ahead of the Reserve Bank of Australia meeting. The pair is about to post the lowest daily close since July 21.
On Tuesday at 03:30 GMT, the RBA will announce it decision on monetary policy. The statement is likely to be dovish according the BBH Global Currency Strategy Team. “Still, the RBA can be counted on to continue to warn that the currency is over-valued given the decline in commodity prices and the terms of trade. What it is less likely to talk about is the attractiveness of its relatively high-yielding triple-A rated bonds for large pools of capital, including other central banks.”
AUD/NZD keeps looking for support
Last week the area around 1.0815 offered support but today on Asian hours it was broken and the aussie dropped further; below 1.0760 (daily low) the next potential support lies at 1.0730.
On Tuesday at 03:30 GMT, the RBA will announce it decision on monetary policy. The statement is likely to be dovish according the BBH Global Currency Strategy Team. “Still, the RBA can be counted on to continue to warn that the currency is over-valued given the decline in commodity prices and the terms of trade. What it is less likely to talk about is the attractiveness of its relatively high-yielding triple-A rated bonds for large pools of capital, including other central banks.”
AUD/NZD keeps looking for support
Last week the area around 1.0815 offered support but today on Asian hours it was broken and the aussie dropped further; below 1.0760 (daily low) the next potential support lies at 1.0730.