Westpac Australia are saying they expect PP to be imminent, RBA rate cut in May? Anyones guess as to what happens. With Oil and Iron Ore prices rising and firming up at the tail end of the week and strong than expected CPI you'd expect that the AUD strengthened, question is, can it be sustained. Highly volatile at the moment..
Well the RBNZ has also now started jawboning down the ccy & has also mentioned they have a mild bias toward cutting rates later in the year.
Just tells me as mentioned at the time the rate hikes they made were a mistake.
Hopefully you find my posts helpful, but in no way should they be construed as advice. Make your own decision.
Seems the Aussie may be strengthening as we are now in the low .96's but versus the other currencies we are holding our own. Looks like PP may be a long way off now. Interesting for me when the main stream media start talking about these things its normally a sign that its going to turn. A bit like the old "when taxi drivers start talking about investing in shares its time to sell".
Seems the Aussie may be strengthening as we are now in the low .96's but versus the other currencies we are holding our own. Looks like PP may be a long way off now. Interesting for me when the main stream media start talking about these things its normally a sign that its going to turn. A bit like the old "when taxi drivers start talking about investing in shares its time to sell".
The AUD is strengthening against USD - and NZD - because the market is anticipating that the recent firming of the iron ore price will continue and cause the RBA to hold off reducing interest rates. Just IMO.
Is parity now a pipe dream? The sentiment shift that was predicted seems now to be upon us.
I think any bounce back toward parity is a sell.
I see no reason to change my outlook on the NZD:AUD being - there will be short term spikes and tumbles (the noise you see) but with an upward bias and I would not be surprised to see it over parity later in the year.
Currently starting to behave like it did last year when it tumbled down to 90 cents. We'll be right and look forward to parity still
I see no reason to change my outlook on the NZD:AUD being - there will be short term spikes and tumbles (the noise you see) but with an upward bias and I would not be surprised to see it over parity later in the year.
Currently starting to behave like it did last year when it tumbled down to 90 cents. We'll be right and look forward to parity still
Eyes to the RBA cash rate today @ 1630, most thinking a 25bp cut to 2.00%
Should be noted Iron Ore has rebounded nicely to back over $50/tonne in the past 10 days, not sure if will alter the RBA decision but Hockey said he believes long term it will drift to the $30's.
I don't believe we will now see parity with the AUD so close but so far....
"With a good perspective on history, we can have a better understanding of the past and present, and thus a clear vision of the future." — Carlos Slim Helu
Reply With Quote
Originally Posted by blackcap
Bookmarks