5 Aug 2015
AUD/NZD could reach 1.1400 on its way to 1.16 – TDS
FXStreet (Edinburgh) - Strategists at TD Securities see the pair climbing further to the 1.14 handle in the near term.
Key Quotes
“The combination of yet another poor dairy auction and a softer-than-expected employment report saw the NZD underperform in today’s session”.
“And combined with yesterday’s surprise upbeat RBA Board meeting communiqué, AUDNZD has reached 1.13 already”.
“As we see upside risks to tomorrow’s Australian employment report for July, reinforcing the RBA’s dove-defying “glass half full” stance, we see a retest of 1.14 for AUDNZD - the third test of that level in six weeks”.
“If the Australian employment report is strong (employment rises by +15k or more and/or the unemployment rate falls below 6%) and Fonterra on Friday slashes its farmer’s payout to $NZ4 kg (or less) then 1.14 can easily be breached, and the market will be looking next at H2 2013 topside levels of 1.16”.
Key Quotes
“The combination of yet another poor dairy auction and a softer-than-expected employment report saw the NZD underperform in today’s session”.
“And combined with yesterday’s surprise upbeat RBA Board meeting communiqué, AUDNZD has reached 1.13 already”.
“As we see upside risks to tomorrow’s Australian employment report for July, reinforcing the RBA’s dove-defying “glass half full” stance, we see a retest of 1.14 for AUDNZD - the third test of that level in six weeks”.
“If the Australian employment report is strong (employment rises by +15k or more and/or the unemployment rate falls below 6%) and Fonterra on Friday slashes its farmer’s payout to $NZ4 kg (or less) then 1.14 can easily be breached, and the market will be looking next at H2 2013 topside levels of 1.16”.