- RBA leaves Australian interest rates on hold at 4.5%
- Subsequent statement says that higher rates may be necessary in the future but wasn’t overly hawkish
- HSBC China services PMI falls to 55.2 in September from 57.6 in August
- Australian retail sales +0.3%, slightly lower than expected
- Australian balance of goods and services +AUD2.4 billion
- NZ business confidence falls in Q3
- BoJ may announce additional easing measures, rate decision expected soon
Fairly quiet day has sprung into life in the last 45 minutes after the RBA decided to concentrate more on the international situation and thus leave rates unchanged. The AUD/USD tumbled from .9670 to .9580 immediately after the announcement and the lack of bounce suggests that the market is caught long. Ranges: .9576/.9678
USD/JPY rallied some 30 pips in early trade on talk of more BOJ easing and has since consolidated as we await the BOJ rate decision. Ranges: USD/JPY 83.30/60, EUR/JPY 113.90/114.34
EUR/USD triggered some weak stops below 1.3665 in early trade but has been quiet since amid some mild cross flows. Range: 1.3639/80
Cable 1.5800/27, EUR/GBP .8627/46
Markets: Regional stockmarkets -0.25%, Gold steady at $1315/oz.
