FX markets play second fiddle to equity markets
City Index March 12, 2014 2:31 PM
<p>The FX markets again play second fiddle to equity markets as we move into session three of the week in the middle of the 60-point […]</p>
The FX markets again play second fiddle to equity markets as we move into session three of the week in the middle of the 60-point ranges (frustrating).
Equity markets were pressed lower on concerns of further credit constraints from China after it was reported that the PBOC are ready to cut the reserve requirement ratio if GDP slows further from 7.5% to 7%. This wasn’t helped by speculation on another payment delay to its investors by Jilin Province trust company.
AUD came under pressure again following another set of weak domestic data as the Westpac consumer confidence data moderated to 99.5 from 100.2 in February and home loan approvals showed stagnation as business investment data revealed lending had slowed.
There really isn’t much more to say on FX today but we continue to look for any developments in Ukraine. The RBNZ is set to meet tonight: the market seems unanimous in a 25 BPT hike in rates.
Supports 1.3825-1.3780-1.3705 | Resistance 1.3880-1.3920-1.3980
Supports 102.70-102.20-101.85 | Resistance 103.15-103.50-103.80
Supports 1.6605-1.6580-1.6540 | Resistance 1.6660-1.6715-1.6780
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