A tight range-bound sort of day in AUD during the Asian session. There is an RBA meeting tomorrow, which kept new initiatives to a minimum and thus flows light.
Capital investment into mining got a boost with this announcement: Rio gets OK for $3bn expansion in Pilbara . The market isn’t getting too excited, as other projects being shelved has been part of the news recently. But its another reason the RBA is unlikely to cut interest rates tomorrow.
1.0400/10 holds bids in the AUD, and below there 1.0360/70.
On the topside 1.0440/50 offers.
Cross flows are pushing the AUD/USD around. We saw some rotation out of the popular EUR/AUD trade during the Asian session which lent support to AUD/USD. EUR/AUD hold bids again, though from 1.3000, offers 1.3120/30.
The AUD/NZD sellers took a breather today too. NZD/USD spiked in the early hours (well before Tokyo) to 0.8492. There is a huge band of resistance in NZD/USD at present levels, giving some support to AUD/NZD.
