- NZ visitor arrivals fall 0.5% in March.
- Japan’s economy to shrink by 3%.
- Australian Merchandise Imports up 4.6% in March.
- RBA Minutes of the April 2009 Monetary Policy Board Meeting. Likelihood of further rate cuts.
- RBA Governor Stevens says Australia is in the midst of its first recession since 1991.
In general the market gave back some of the overnight moves. AUDUSD regained some lost ground, off the overnight low and back up to 70c before the RBA minutes were released. Once released traders sold AUDUSD back down to 6980 area on the back of speculation of further rate cuts are on the agenda. However the market was short from all the overnight selling, spending the rest of the day trading back up above 7020.
EURUSD was the same and never re-challenged the overnight lows at 1.2880. Some EURJPY buying and traders happy to take some profits on their short positions, helped EURUSD push back up to the 1.2950 level and EURJPY up to 127.45.
GBPUSD took a hit early from 1.4550 down to take out stops under 1.4500 for a look at 1.4466. Some GBPJPY buying lent some support to Cable pushing it back up above 1.4560.
With the Nikkei taking a 3% hit in the morning, traders turned to buying some US dollars against the Yen, lifting USDJPY from the mid 97’s.
Ranges…
AUDUSD 6968 – 7028
EURUSD 1.2895 – 1.2953
GBPUSD 1.4466 – 1.4576
USDJPY 97.70 – 98.46
EURJPY 126.07 – 127.46
Goodluck,
Sam
