Aussie dollar continues to be a favourite short, says Saxo Capital Markets’ Kay Van-Petersen

Unlike Kay Van-Petersen’s expectations for a cut of interest rates in Australia last week, the RBA kept the rate unchanged at 2.25%. To be fair, most of the economists in the market were positioned for the cut to happen. Regardless, the Aussie dollar (AUD) continues to be one of Saxo Capital Market’s favourite shorts against the US dollar (USD) simply because this position has catalysts on both countries. Australia still expects further interest rate cuts by the RBA, on the back of the economic slowdown and falling commodity prices. On the contrary, in the US the Fed is expected to raise interest rates during the second half of this year. To read more visit: (VIEW LINK)