FXStreet (Barcelona) – The eFXnews Team notes Credit Agricole views that AUD rallies versus USD and NZD remain a sell.
Key Quotes
“Although the central bank left interest rates unchanged, it was reaffirmed that additional policy easing cannot be excluded should incoming data make a case for it. Elsewhere, RBA Governor Stevens reiterated that a lower currency is required in order to support the economy. From that angle any unwarranted tightening of monetary conditions may well trigger additional policy action.”
“Strongly capped RBA rate expectations and intact uncertainty as related to Chinese growth prospects are likely to keep the AUD subject to downside risk.”
“As such we remain of the view that rallies should be sold, for instance, against the USD and NZD.”
This content has been provided under specific arrangement with eFXnews.
(Market News Provided by FXstreet)