David Scutt, Treasury Dealer at Arab Bank Australia says the ASX/S&P200 is set to scale fresh multi-year peaks, potentially beating its 2013 high of 5249.6 this morning with SPI futures pointing to a rise of 12pts on the open. While there are risks associated with the unemployment release at 11:30am, with markets likely to adopt a 'good news is good, bad news is good' type mentality given its implications for monetary policy, its highly likely that the index will be able to hold initial gains into the closing bell. The AUD continued to rally overnight with the pair hitting US93.38c, the highest level since June 26. While technically/fundamentally solid at present, attention today will be on the labour force statistics at 11:30am with a strong result likely to send the AUD towards US94.00c. A weak outcome will see the currency trade between US92.60c to US93.20c. (VIEW LINK)
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