14 Jan 2014
Flash: AUD/USD: Scope to extend rally to 0.9165/80 - Westpac
FXstreet.com (Bali) - The Aussie should gain more than most from lower US yields post-NFP, especially given IMM spec positioning remains firmly short, notes Westpac.
Key Quotes
"Key commodity prices are mixed, with gains in e.g. base metals and gold largely reliant on broad USD weakness whereas spot iron ore (which sees little influence from speculators) continues to slip, albeit from quite high levels."
"Domestic data such as retail sales and building approvals has been encouraging. "The RBA will welcome such signs of life in job-intensive retailing and construction, adding to its likely confidence that policy settings are appropriate at the 4 Feb Board meeting and in its quarterly statement."
"We see scope for AUD/USD to extend its rally to 0.9165/80 multi-day."
Key Quotes
"Key commodity prices are mixed, with gains in e.g. base metals and gold largely reliant on broad USD weakness whereas spot iron ore (which sees little influence from speculators) continues to slip, albeit from quite high levels."
"Domestic data such as retail sales and building approvals has been encouraging. "The RBA will welcome such signs of life in job-intensive retailing and construction, adding to its likely confidence that policy settings are appropriate at the 4 Feb Board meeting and in its quarterly statement."
"We see scope for AUD/USD to extend its rally to 0.9165/80 multi-day."