The EUR has been directionally controlled by the movements of the US Dollar, as have most other currencies. The rise in Bond Yields has underpinned the USD and pushed the EUR back below 1.0800. The cross-rate has traded around 0.6100 and this is likely to improve unless the RBA change monetary policy. Interest rates differentials are making the AUD much more attractive on the cross with the EUR.
Current Level: 1.6310
Resistance: 1.6500
Support: 1.6000
Last Weeks Range: 1.6138- 1.6318
The EUR has been directionally controlled by the movements of the US Dollar, as have most other currencies. The rise in Bond Yields has underpinned the USD and pushed the EUR back below 1.0800. The cross-rate has traded around 0.6100 and this is likely to improve unless the RBA change monetary policy. Interest rates differentials are making the AUD much more attractive on the cross with the EUR.
Current Level: 0.6166
Resistance: 0.6250
Support: 0.6110
Last Weeks Range: 0.6115- 0.6207
The UK economy has been emerging from the recessionary economic conditions, under the guidance of the new Government, but things may be about to change. The UK Budget is next week and the rumours are that there will be tax hikes and budget cuts. The latest is a rumour of expanded deficits/debt, which can only mean that budget cuts will be more a re-prioritisation of spending, rather than cuts. The cross rate is likely to trade around current levels of 0.5100, save some major changes to UK Budget direction or RBA monetary policy.
Current Level: 1.9551
Resistance: 2.0000
Support: 1.9000
Last Weeks Range: 1.9357- 1.9555
The UK economy has been emerging from the recessionary economic conditions, under the guidance of the new Government, but things may be about to change. The UK Budget is next week and the rumours are that there will be tax hikes and budget cuts. The latest is a rumour of expanded deficits/debt, which can only mean that budget cuts will be more a re-prioritisation of spending, rather than cuts. The cross rate is likely to trade around current levels of 0.5100, save some major changes to UK Budget direction or RBA monetary policy.
Current Level: 0.5110
Support: 0.5000
Resistance: 0.5200
Last week’s range: 0.5080- 0.5120
The ECB and RBNZ have currently both embarked on an interest rate cutting cycle. They are moving at different velocity, but began from different origins. The ECB raised rates to lower levels and without the enthusiasm of the RBNZ, but are not equally as dovish on monetary policy. High interest rates and the cost of energy have driven their respective economies into recession, which has killed inflation. Therefore, as they operate in tandem, we can expect minimum variation to the cross-rate. The rate is trading around 0.5600.
Current Level: 1.8017
Resistance: 1.8500
Support: 1.7500
Last Weeks Range: 1.7833 – 1.8020
The ECB and RBNZ have currently both embarked on an interest rate cutting cycle. They are moving at different velocity, but began from different origins. The ECB raised rates to lower levels and without the enthusiasm of the RBNZ, but are not equally as dovish on monetary policy. High interest rates and the cost of energy have driven their respective economies into recession, which has killed inflation. Therefore, as they operate in tandem, we can expect minimum variation to the cross-rate. The rate is trading around 0.5600.
Current Level: 0.5530
Support: 0.5500
Resistance: 0.5700
Last week’s range: 0.5520- 0.5550
The GBP has suffered at the hands of the US Dollar, as has the KIWI. The improving economic situation in the UK, has driven recent support for the GBP, but the resurgent US Dollar has put paid to the recovery. The upcoming UK Budget may have a huge directional impact on the long-term direction of the currency, as rumours harden regarding tax increases and ‘budget’ deficit increases. Expect the NZD cross rate to trade around current levels.
Current Level: 2.1580
Resistance: 2.2200
Support: 2.1600
Last Weeks Range: 2.1600- 2.1730
The GBP has suffered at the hands of the US Dollar, as has the KIWI. The improving economic situation in the UK, has driven recent support for the GBP, but the resurgent US Dollar has put paid to the recovery. The upcoming UK Budget may have a huge directional impact on the long-term direction of the currency, as rumours harden regarding tax increases and ‘budget’ deficit increases. Expect the NZD cross rate to trade around current levels.
Current Level: 0.4625
Resistance: 0.4500
Support: 0.4600
Last Weeks Range: 0.4615- 0.4645
The NZD/AUD cross rate has been moving steadily lower, approaching the key 0.9000 mark. The RBNZ has adopted an aggressive rate cutting program, while the RBA holds firm, to kill the final remnants of inflation. The interest rate differentials are driving the cross lower and this is likely to continue, unless the RBA abandons its current direction.
Current Level: 1.1030
Resistance: 1.1100
Support: 1.0900
Last Weeks Range: 1.0980 – 1.1050
The NZD/AUD cross rate has been moving steadily lower, approaching the key 0.9000 mark. The RBNZ has adopted an aggressive rate cutting program, while the RBA holds firm, to kill the final remnants of inflation. The interest rate differentials are driving the cross lower and this is likely to continue, unless the RBA abandons its current direction.
Current Level: 0.9045
Resistance: 0.9300
Support: 0.9000
Last Weeks Range: 0.9005 – 0.9080