The New Zealand Dollar (NZD), Australian Dollar (AUD) remains within recent price ranges, consolidating around the 0.9100 (1.10) areas. Directional cues will be difficult to read this week with little on the economic calendar to write home about. Earlier today RBA governor Lowe rocked the boat when he said worker pay rises should be capped at 3.5%. Match that with CPI at 5.1% and he has annoyed many. Iron ore prices have fallen recently from 147.00 per ton to 112.00 and look to have stabilised around this level as China lockdowns eased. The Aussie looks to have the upper edge over the past few hours and could get further support if “risk” deteriorates towards the end of the week. Next week’s RBA imminent cash rate increase could also add AUD upside bias.
Current Level: 0.9094 (1.0988)
Resistance: 0.9150 (1.1130)
Support: 0.8985 (1.0930)
Last Weeks Range: 0.9049-0.9146 (1.0933-1.1050)