Will the RBA join the push to go higher?
Friday’s violent market moves in the wake of both the eye-poppingly strong US employment report and sharp bounce in the Services ISM survey, have extended overnight. US Treasury yields are 15bps higher at 2-years and 10bps at 10-years, US stocks are entering the last hour of NYSE trade down about half a percent and the USD is 0.6-0.7% stronger in index terms. This has seen the AUD’s recovery back to the mid-0.69s during our time zone reversed, with a new low of 0.6856, reducing its year-to-date gains to a little less than 1% though still leaving it as the best performing G10 currency so far this year. The RBA ... (full story)