Giles Coghlan LLB, Lth, MA
Financial Source
Listen to the latest market mood for the AUDNZD pair.
AUD strength
Australia's employment change data showed some encouraging signs for Australia's job market. July's data showed an addition of 114.7k jobs and 43.5K of these were full time The unemployment rate also came in lower at 7.5% vs the 7.8% expected.
NZD weakness
Building on the RBNZ's dovish picture yesterday deputy Governor Bascand said that the resurgence of the virus in New Zealand is a big risk. He said that the RBNZ will probably combine negative rates with funding for lending programmes if more stimulus is needed beyond yesterday's $40 billion QE extension.
This should mean a weaker NZD against a stronger AUD for today's session. Therefore expect buyers on pullbacks on the AUDNZD pair. We expect this trade to play out between now and the next 3-4 days.
Trade Risks: If we see any very negative US-China news that will weigh more heavily on the AUD than the NZD and will invalidate this outlook.
Our products and commentary provides general advice that do not take into account your personal objectives, financial situation or needs. The content of this website must not be construed as personal advice.
Recommended Content
Editors’ Picks
EUR/USD clings to daily gains above 1.0650
EUR/USD gained traction and turned positive on the day above 1.0650. The improvement seen in risk mood following the earlier flight to safety weighs on the US Dollar ahead of the weekend and helps the pair push higher.
GBP/USD recovers toward 1.2450 after UK Retail Sales data
GBP/USD reversed its direction and advanced to the 1.2450 area after touching a fresh multi-month low below 1.2400 in the Asian session. The positive shift seen in risk mood on easing fears over a deepening Iran-Israel conflict supports the pair.
Gold holds steady at around $2,380 following earlier spike
Gold stabilized near $2,380 after spiking above $2,400 with the immediate reaction to reports of Israel striking Iran. Meanwhile, the pullback seen in the US Treasury bond yields helps XAU/USD hold its ground.
Bitcoin Weekly Forecast: BTC post-halving rally could be partially priced in Premium
Bitcoin price shows no signs of directional bias while it holds above $60,000. The fourth BTC halving is partially priced in, according to Deutsche Bank’s research.
Week ahead – US GDP and BoJ decision on top of next week’s agenda
US GDP, core PCE and PMIs the next tests for the Dollar. Investors await BoJ for guidance about next rate hike. EU and UK PMIs, as well as Australian CPIs also on tap.