News


Westpac on AUD – now below weekly fair value. Risks and target for AUD/USD




An updated commentary from Westpac on the Australian dollar, with a target for AUD/USD

  • The Aussie has been one of the worst performers in the broad-based US dollar rally since the June FOMC and ECB meetings. It is now below our weekly fair value estimate for the first time this year. 
  • If US-China trade tensions remain the market focus in coming weeks, risks are to 0.72/0.73. 
  • But Australia’s key commodity prices have been broadly resilient, especially LNG and thermal coal, suggesting AUD downside should be contained multi-month. 
  • The RBA should also be optimistic on Australia’s growth outlook in its August statement. 
  • We look for 0.75 end-September 
       


































Source link

Articles You May Like

Brexit reality brings sterling back down to earth
Next to impact the AUD will be RBA minutes due soon
What major currencies were the strongest and weakest this week?
Trading strategies: trading risk events
EUR/USD climbs to session highs as dollar, yen slips

Leave a Reply

Your email address will not be published. Required fields are marked *