Response to RBA Debelle's speech - RBA is always too optimistic. (Also, AUD targets).

Reserve Bank of Australia Deputy Governor Debellse spoke yesterday:

• RBA dep gov Debelle says watching AUD rate carefully, intervention is a policy option

• RBA Debelle Q&A: Says negative rates are an option, does not mean "on the table"

Rabobank make a point that needs to be made more often (made here at ForexLive quite often) - the bolded words ... :

• AUD ... is worst-placed for a US-China decoupling, the RBA's Debelle just gave a speech in which he said a lower AUD would be beneficial to support the economy, and that higher public debt levels (which the RBA will support) are not a problem.
• The RBA's projections, always too optimistic, are also that it will be three years before rates need to rise again.

Rabobank twist the knife:

• Ask the BOJ how long it has taken them

And, a little more:

• We see scope for AUD/USD to pullback towards 0.71 on a three-month view and to fall to 0.68 in six months