RBA Minutes to Explain Cash Rate Hold

AUD

The Aussie Dollar opens mixed against majors despite relatively poor performance among commodities, with both Gold and Silver closing flat, Iron Ore down -0.9% and Copper down -0.7%. Asian equites had some solid performance, with the ASX closing up 0.1% and the Shanghai Comp up 1.6%. No Aussie or Chinese data yesterday. At 11:30am today we have the Monetary Policy Meeting Minutes being released, which will detail the insights that influenced the RBA’s decision on the most recent Cash Rate hold. Market impact is expected to be minimal given RBA Governor Bullock gave 2 speeches in the aftermath of the decision, accompanied by the Statement of Monetary Policy. Later today at 12:15pm we have the Chinese Loan Prime Rate decisions, with the 1-y figure expected to remain unchanged at 3.45% and the 5-y figure expected to decrease from 4.20% to 4.10%.
 

USD

The AUDUSD creeps higher in the past 24 hours, making its way to a 16-day high of 0.6552 before opening this morning at 0.6537. Wall Street closed in the red yesterday, with the Dow down -0.4%, S&P 500 down -0.5% and the NASDAQ down -0.8%. There was a bank holiday yesterday in the US, President’s Day, resulting in no new being released. Tonight, there is one piece of data, the CB leading Index m/m, expected to come in lower at -0.3% from -0.1%. Thursday and Friday will bring the hard-hitting US data, including the FOMC Meeting Minutes and Flash PMIs.
 

EUR

The AUDEUR saw some very mild gains yesterday, drifting in a tight range all day, opening flat this morning at 0.6064. The European equities were soft into the close, with the DAX down -0.1% and the CAC flat. Yesterday, we had the German Buba Monthly Report released, giving a summary and analysis of data that has been released, not impacting forex markets. Tonight, we have the Eurozone’s Current Account, expected to decrease form 24.6B to 20.3B.
 

GBP

Choppy conditions for AUDGBP over the past 24h sees the pair open flat at 0.5180 this morning. UK equities had a small gain yesterday, with the FTSE closing up 0.2%. Yesterday, the Rightmove HPI m/m was released, seeing a 0.9% gain, previously printing at 1.3%. Tonight, we have the Monetary Policy Report Hearings, where the BOE Governor Bailey and other MPC members will testify to the parament about the economic outlook and local inflation.
 

NZD

The AUDNZD drifts lower over the past 24 hours, pushing into a 7-day low, opening this morning at 1.0630. The Kiwi’s had no news yesterday and nothing out today. The next piece of influential data will be their Retail Sales q/q on Friday morning. Markets are expecting a -0.2% decline after the previous flat reading.