6 May 2014
Asia Recap: AUD sees topside failure post RBA
FXStreet (Bali) - The decision by the RBA to keep rates unchanged at 2.5% was the highlight of the Asian session.
Despite the RBA reaffirmed its neutral stance, indicating that there are some minor improvement in the labour market, while keeping its language towards the Aussie rather soft, the Aussie failed to maintain its advantage above 0.93 following an initial spike, as a stampede of selling orders took the price from a session high of 0.9315 back down to 0.9275/80. Earlier on the day, Australia published a softer-than-expected trade balance, with the downbeat print due to a drop in exports.
Meanwhile, the USD/JPY continue to put pressure on the 102.00 line amid low liquidity as Japan, Hong Kong and Korean market were all closed due to public holidays. The NZD/USD broke briefly above 0.87, reaching a new 4-week high at 0.8712 before losing the level. The EUR/USD and GBP/USD also strengthened in Asia, printing highs of 1.3884 and 1.6892 respectively.
Main headlines in Asia
Australian trade balance softer-than-expected
RBA keeps rates unchanged, firm neutral stance
Despite the RBA reaffirmed its neutral stance, indicating that there are some minor improvement in the labour market, while keeping its language towards the Aussie rather soft, the Aussie failed to maintain its advantage above 0.93 following an initial spike, as a stampede of selling orders took the price from a session high of 0.9315 back down to 0.9275/80. Earlier on the day, Australia published a softer-than-expected trade balance, with the downbeat print due to a drop in exports.
Meanwhile, the USD/JPY continue to put pressure on the 102.00 line amid low liquidity as Japan, Hong Kong and Korean market were all closed due to public holidays. The NZD/USD broke briefly above 0.87, reaching a new 4-week high at 0.8712 before losing the level. The EUR/USD and GBP/USD also strengthened in Asia, printing highs of 1.3884 and 1.6892 respectively.
Main headlines in Asia
Australian trade balance softer-than-expected
RBA keeps rates unchanged, firm neutral stance