The Australian Dollar (AUD), New Zealand Dollar cross trades around 0.9210 (1.0860) early in Tuesday sessions, the Aussie pushed higher off the weekly open from 0.9285 (1.0770) as equity markets and commodities recovered from losses, the Nasdaq up 1.3% on the day and iron ore at 146.00 from 136.00 late last week supporting an outperforming AUD across the board. The RBA is facing renewed pressures to start lifting its cash rate from spending pressures in the Federal Budget tonight. The spending should act as an additional stimulus for the economy which is facing upside to inflation already at its highest level in 5 years. Predictions are for the RBA to start raising their cash rate from June to 0.75% with risks it could happen earlier in May. On the calendar is ANZ Business Confidence Wednesday in NZ which could dampen NZD buyer mood. Staunch resistance at 0.9130 (1.0950) should hold- the long term 4 year low.
Current Level: 0.9205 (1.0851)
Resistance: 0.9285 (1.0920)
Support: 0.9160 (1.0770)
Last Weeks Range: 0.9253-0.9353 (1.0691-1.0807)