It's becoming cheaper and cheaper for Kiwi's to come over to Australia, with AUD/NZD at 1.1070 (at the time of writing). My year-end target was 1.15 and that was when the pair was around 1.25! Currency markets are being driven by yield spreads and central bank policy divergence and AUD/NZD has been one of the macro communities' favourite trades. At 11:30 today we get the Australian Q3 GDP and while the consensus is calling for 0.7% on the quarter (range of 1.2% to 0.5%) and 2.6% on the year, we feel there are very modest upside risks here. Still, bounces in this pair should be sold given the very clear and strong trend.
Chris joined IG as a sales trader in 2006, having worked previously at Morgan Stanley, Credit Suisse and Merrill Lynch, gaining exposure to both equity and fixed income trading. After accruing 15 years' experience in financial markets, Chris...
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