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23 Apr 2014
Asia Recap: Selling stampede hits the Aussie
FXStreet (Bali) - The Australian Dollar was sandblasted during the Asian session, following weaker-than-expected Aus Q1 CPI, with the marginal miss in China's HSBC PMI only exacerbating its pain.
AUD/USD opened the session contained by the 0.9370 resistance, with some early attempts to break higher challenged by solid selling interest. Once the Australian CPI figures were released, with the RBA trimmed core (qoq) CPI coming at +0.5% vs 0.7%, it was one-way traffic for the bears, pushing the rate even beyond the 0.93 handle to take out stops below 0.9290 and print a new 10-day low of 0.9278 before stabilizing.
USD/JPY traded slightly heavier today, with the key 50% fib retrac of the April decline still capping the upside. The setback found solid bids at 102.50 though, which allowed the exchange rate to pause just above the half number line. The Nikkei 225, up over 0.65%, failed to stimulate gains.
The rest of G10 currencies, including the New Zealand Dollar (big risk event tomorrow with the RBNZ rate decision), traded slightly better bid than the US Dollar, which was not supported along Asian hours other than against the Aussie.
Main headlines in Asia
New Zealand Visitor Arrivals (YoY) dipped from previous 7% to -6.3% in March
Australian CPI weaker-than-expected
Details of RRR cut for rural banks unveiled - Nomura
BoJ Kuroda: Accommodative environment continues
China HSBC PMI at 2-month high, but still a miss...
Behind the latest Aussie collapse
AUD/USD opened the session contained by the 0.9370 resistance, with some early attempts to break higher challenged by solid selling interest. Once the Australian CPI figures were released, with the RBA trimmed core (qoq) CPI coming at +0.5% vs 0.7%, it was one-way traffic for the bears, pushing the rate even beyond the 0.93 handle to take out stops below 0.9290 and print a new 10-day low of 0.9278 before stabilizing.
USD/JPY traded slightly heavier today, with the key 50% fib retrac of the April decline still capping the upside. The setback found solid bids at 102.50 though, which allowed the exchange rate to pause just above the half number line. The Nikkei 225, up over 0.65%, failed to stimulate gains.
The rest of G10 currencies, including the New Zealand Dollar (big risk event tomorrow with the RBNZ rate decision), traded slightly better bid than the US Dollar, which was not supported along Asian hours other than against the Aussie.
Main headlines in Asia
New Zealand Visitor Arrivals (YoY) dipped from previous 7% to -6.3% in March
Australian CPI weaker-than-expected
Details of RRR cut for rural banks unveiled - Nomura
BoJ Kuroda: Accommodative environment continues
China HSBC PMI at 2-month high, but still a miss...
Behind the latest Aussie collapse