You’ve heard this already today, but the holiday in Japan, China, Hong Kong and Singapore made for a very thin liquidity day, only Australia and New Zealand in the game today. The poor housing finance figures helped move the Australian interest rate markets, the implied probability of a rate cut firming from below 50% to around 54% today.
Data: Australian December Home Loans -1.5% M/M
Australian December Home Loans down – Recap
There has been good interest from Asian Central Banks, most notably the PBOC, to buy AUD , and with the China on holiday this week buying that would otherwise be around is absent.
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There are exporter bids below:
- 1.0270 is shaping up as an area of interest,
- also 1.0250/60 bids, with stops below,
- Bids again from 1.0185 to 1.0200
- Stops below 1.0180
On the topside:
- 1.0315/25 is initial selling today
- Stronger offers 1.0345/55
- Offers 1.0375/80, with some trading stops above here.
- 1.0395/05 offers, and again 1.0420/25
