The Aussie has been somewhat tormented by negative news not just coming from the equity market, where local shares are showing weakness, but also from the fundamental front, after the exports price index fell by 7% vs -2% expected, while import prices edged -1.2% lower. The data collected refers to the first quarter of 2012.
The latest Import/Export price index results do not bode well for those expecting the RBA to hold fire in the next RBA policy meeting. The Central Bank in Australia said in the latest minutes published earlier on the week that “to cut or not to cut rates" would be now directly dependable on the next CPI data, thus the present decrease in the exporters index price suggests the market is pricing even with more certainty than before a rate cut.
H : 1.0350
L : 1.0308
S3 : 1.0265 S2 : 1.0291 S1 : 1.0317
R1 : 1.0324 R2 : 1.0349 R3 : 1.0375
No comments:
Post a Comment