JP Morgan is looking for a lower AUD/NZD, comments from the bank in summary:

  • short term market is very long the cross
  • positive local news from Australia with regards to virus numbers in Victoria coming down and as USDCNH continues to find sellers on rallies
  • NZD should be much lower in a year as the RBNZ likely go to negative rates, it's not clear what the catalyst will be in the near term to inspire fresh selling
  • suggest selling a rally in AUDNZD towards trend line resistance at 1.09

JPM add they remain US dollar bears.

JP Morgan is looking for a lower AUD/NZD, comments from the bank in summary: