interbank midrate

FX News

AUD/USD Transfer

The Australian Dollar (AUD) extended declines into Thursday to 0.6712 against the US Dollar (USD). The stronger greenback has been outperforming of late due to a “risk off” tone. Chinese stocks have tumbled over scepticism over Beijing’s stimulus measures, the biggest drop in 4 years falling over 7%. This has had an impact on the Aussie as it undermines the currency. RBA’s deputy governor Hauser said yesterday at the central bank minutes that the bank will act as soon as inflation stops being high and sticky. Currently the RBA’s inflation sits at 3.8% much higher than their 2-3% target range. We expect further momentum in the cross to the downside.

Current Level: 0.6718
Resistance: 0.6800
Support: 0.6640
Last Weeks Range: 0.6784- 0.6947

 

FX News

AUD/GBP Transfer

All upside moves by the Australian Dollar (AUD) last week have been reversed this week with the cross turning on a dime around 0.5220 (1.9170) clocking 0.5140 (1.9470) this morning. Most of the Aussie weakness coming from risk sentiment and Chinese stimulus measures. Chinese equities have plummeted overnight over 7% not helping the AUD suffering the biggest drop in 4 years. UK m/m GDP prints tomorrow evening and should be positive following a recent pickup in manufacturing. 0.5120 (1.9520) is the next target support.

Current Level: 0.5139
Support: 0.5080
Resistance: 0.5175
Last week’s range: 0.5157- 0.5229

FX News

AUD/USD Transfer

The Australian Dollar (AUD) has been a top performer across the main board of currencies this week based on the only central back looking to delay rates until early next year, this has created divergence in currency movements. However, we have still seen a slide to 0.6830 over the week but the drops have been well supported compared to other currencies which have freefallen. Iran launched around 200 ballistic missiles into Israel earlier in the week, Israel’s Netanyahu vowing to fight back with force. Risks of full-blown war in the region are real with market appetite to take on “risk” products poor. Attention now is with US Non-Farm Payroll (NFP) tomorrow morning, anything softer than forecast could highlight the need by the Fed to cut rates deeper. Downside risks in the AUD remain.

The current interbank midrate is: AUDUSD 0.6843

The interbank range this week has been: AUDUSD 0.6828- 0.6941

FX News

AUD/GBP Transfer

The Australian Dollar (AUD) extended its climb over the week against the British Pound (GBP) initially reaching 0.5190 (1.9260) in the first wave before pushing higher to 0.5230 (1.9120) in early Friday. To be honest it’s performed very well as market sentiment drowned in a sea of geopolitical risk aversion. The only data release over the week has been Australian Retail Sales which came in hot at 0.7% compared to 0.4% forecast for August supporting the AUD. We favour a push back by the GBP with a retest to 0.5145 (1.9430) predicted.

The current interbank midrate is: AUDGBP 0.5212 GBPAUD 1.9186

The interbank range this week has been: AUDGBP 0.5157- 0.5229 GBPAUD 1.9123- 1.9390

 

 

FX News

AUD/USD Transfer

The Australian Dollar (AUD) has extended higher Monday reaching 0.6940 against the US Dollar (USD), a new 2024 high. The 4th week straight the AUD has outperformed the greenback. This week’s US non-farm payroll numbers Friday holds the key to ongoing fed policy reviews with predictions the release could be much worse than markets are expecting. This would give way too much “deeper” rate cuts with labour markets showing weakness. At the moment we have priced in 75 points of cuts at the November 8 meeting. With the RBA not expected to cut until early in 2025 we should see the cross retest the magical 0.7000 mark as early as this week.

 

Current Level: 0.6917
Resistance: 0.7000
Support: 0.6800
Last Weeks Range: 0.6794- 0.6936

 

FX News

AUD/GBP Transfer

Last week’s Australian inflation read came in at 2.7% y/y as markets were predicting sending the AUD higher against the British Pound (GBP) to close the week circa 0.5165 (1.9360) levels. Its still not enough for the RBA to consider cutting rates just yet, what’s interesting in the CPI number is a drop of -17% in electricity based on the govt providing rebates. So, the CPI number could end up rising back above 3.0% once the rebates have finished at the end of 2025. The AUD climbed to 0.5185 (1.9285) resistance early this morning before dropping back to 0.5170 (1.9350)

 

Current Level: 0.5169
Support: 0.5200
Resistance: 0.5190
Last week’s range: 0.5110- 0.5174

FX News

AUD/USD Transfer

The Australian Dollar (AUD) extended moves higher to start the week against the US Dollar (USD) reaching 0.6890- the 3rd week it has outperformed the greenback from the low of 0.6625 in early September. The RBA held their cash rate as we expected at 4.35% Tuesday as widely expected initially sending the AUD lower before markets pushed the antipodean currency higher post the central bank statement releasing. The RBA maintained their “hawkish” stance by saying the labour market remains strong and inflation still has a way to go. Also boosting the AUD was a massive Chinese economic boost to revive household spending and real estate demand. Today’s Australian inflation read y/y 1.30pm NZT should drop from 3.8% and will give us more swings in the pair. Taking out this currency risk by buying USD prior would be a good plan.

Current Level: 0.6895
Resistance: 0.67000
Support: 0.6800
Last Weeks Range: 0.6688- 0.6838

 

FX News

AUD/GBP Transfer

It has been a volatile start to the week in the British Pound (GBP), Australian Dollar (AUD) cross with prices very shifty. UK Manufacturing Monday printed below expectations at 51.5 compared to 52.3 sent the GBP lower to 1.9450 (0.5140) off 1.9530 (0.5120) before reversing losses back to  1.9560 (0.5110) towards yesterday’s RBA policy meeting. The Australian Central Bank left rates unchanged at 4.35% as we predicted and held tight on their “hawkish” tone blaming high inflation and a healthy labour market. This bought AUD buyers back sending prices to 0.5140 (1.9460) in early morning trading. Aussie CPI y/y prints later today expected to dip from 3.8% to around 2.8%- anything higher than 2.8% should rally the Aussie further.

Current Level: 0.5136
Support: 0.5110
Resistance: 0.5170
Last week’s range: 0.5101- 0.5155

FX News

AUD/GBP Transfer

The Bank of England (BoE) left monetary policy on hold at 5.00% last night as expected but members were split over the decision 1-8. Governor Bailey saying they should be able to cut rates “gradually” overtime. The British Pound (GBP) was firmer post the announcement kicking off 1.9400 (0.5155) to 1.9500 (0.5130) over the last few hours. Earlier the Australian jobs data improved the AUD on better than expected August numbers with 47,500 more people entering the jobs market compared to 26,000 expected. The unemployment rate remained steady at 4.2%. Next week’s RBA cash rate will remain at 4.35% and should bring buyers back into AUD.

The current interbank midrate is: AUDGBP 0.5127 GBPAUD 1.9504

The interbank range this week has been: AUDGBP 0.5101- 0.5155 GBPAUD 1.9396- 1.9603

 

FX News

AUD/USD Transfer

We have seen a slew of economic releases publish over the past couple of days moving the Australian Dollar eventually higher to 0.6830 into Friday sessions against the US Dollar (USD). The Federal Reserve cut rates yesterday morning by 50 points to 5.00% surprising markets based 25-point forecasts. The AUD shot lower weirdly to post 0.6740 before Australian jobs data later in the day pushed the AUD back towards 0.6830 where it should have been earlier. Unemployment numbers were better than predictions and the unemployment rate remains at 4.2%. As wage growth has remained buoyant this has led to inflation struggling to return to the RBA’s target, this being said the RBA will hold their cash rate at 4.35% next Tuesday. We expect further upside moves to continue to push into fresh yearly highs past 0.6830.

 

The current interbank midrate is: AUDUSD 0.6810

The interbank range this week has been: AUDUSD 0.6688- 0.6838