AUTOREFRESH 
AUD may be affected by political fall-out from ETS
By Sean Lee || November 23, 2009 at 22:29 GMT
|| 5 comments || Add comment
The Australian Labour government and the Liberal opposition have been trying to come to an agreement on an Emissions Trading Scheme and if agreement cannot be reached, there is the possibility of a snap general election being called. This may present some short term event risk for the AUD.
Sean, I have been thinking about Bank of China buying Kiwi with an open hand last night since you posted it….do you think they will try it again tonight?
Good morning Sean. Could this week provide an interesting test of your ‘Asia always gets the opening move wrong’ theory? US$ weakened in Asia on Monday but held its own in Europe and North America.
Hi TN, well it’s over 100 pips higher already but I doubt very much if they got the chance to buy very much as the bounce was very sharp. I do not expect to see them chasing the market higher but I would not be at all surprised to see them appear on the bid should we see a reasonable dip in the Kiwi; I’ll keep you posted.
Hi ISCA, well the complete theory is that if Asia makes new trend highs or lows on a Monday morning then they are always wrong but I must say it does feel that when we try to do one thing here in Asia, Europe and the US tends to ignore it completely. But you’re definitely right in this case, The USD/gold moves from yesterday have been certainly confirmed.
Thanks Sean! Wonder if they are trying to support the Kiwi to insure speculators buying all their export copper….darn bubble…lol