AUD/USD correlated to crude - Westpac

Analysts at Westpac noted that RBA governor Stevens spoke in NY.

Key Quotes:

"Cautioning against reading too much into market volatility into the beginning of the year and highlighting the limits of monetary policy in boosting growth.

AUD continued to track higher, rising from 0.7770 to 0.7826 – a fresh 10-month high.

With AUD/USD holding above 0.7800 and iron ore remaining supportive, we should see further appreciation. Downside risks however arise from further possible falls in crude. "