AUD/USD seen lower at 0.6700 in Q2 2019 – Morgan Stanley

Analysts at Morgan Stanley offer their outlook on the AUD/USD pair over the next 12 months, citing risks skewed to the downside.

Key Quotes:

“AUD to 0.67 cents in Q2, end year at 0.71.

Markets are currently pricing in about a 50 percent probability of an RBA rate cut over the next 12 months, fairly reflecting the economic weakness.

Under these dynamics, we see further Australian dollar downside."