FXstreet.com (Barcelona) - According to the Westpac Strategy Team, “Despite better Chinese data, the AUD looks set to push steadily lower, perhaps even towards parity.”
Moving along, the AU outright market remains range bound however, “we look for tactical buying opportunities. Regarding the Australian curve, we are neutral on the curve but expect the recent steepening to be short lived.” the team suggests.
By comparison, the core bond markets remain largely range bound at historically low yields and with the downside risks to global activity still very real and central bank policy rates tending to converge on the zero bound, “we expect these conditions to endure for now.” they add.
Moving along, the AU outright market remains range bound however, “we look for tactical buying opportunities. Regarding the Australian curve, we are neutral on the curve but expect the recent steepening to be short lived.” the team suggests.
By comparison, the core bond markets remain largely range bound at historically low yields and with the downside risks to global activity still very real and central bank policy rates tending to converge on the zero bound, “we expect these conditions to endure for now.” they add.
