A decent rebound in NZ business confidence according to NZIER, with a net 43% of firms expecting general business conditions to improve. The 35-point increase marks its sharpest quarterly rise in eight quarters.
However, weak current activity and softer price pressures send a mixed signal to the RBNZ and seem unlikely, on their own, to pressure the Bank into another imminent hike.
Fuel and interest rate concerns continued to weigh on consumer sentiment, according to Westpac.
Sentiment fell a further 4.7% in September, matching August’s 4.7% decline, amid weaker family finances and slightly softer economic conditions. Unemployment and rate hike concerns also moved higher again, although in most cases the momentum slowed a touch.
Fairly quiet week for AU data 9overall, see my Aussie Weekly outlook from yesterday: Australian Dollar Outlook: AUD/USD Bears to Face Near-Term Reprieve? https://t.co/96tEVa5hkz
Sterling’s recovery remains mixed. GBP is still under pressure against the USD and JPY, but has performed well against the EUR and CHF.
Across the majors, price action looks a little fickle — so the cleaner near-term opportunities for GBP bulls may be against the AUD and CAD.
British Pound Outlook: GBP Recovery Mixed as BOE Hike Bets Rise https://t.co/fL6gACOVNW
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🛢️ Oil whipsaws on supply concerns/optimism, edges lower to start the week
📅 Quieter week on tap, highlighted by ISM Services PMI, FOMC Minutes, and UofM Sentiment
🇫🇷 $EURUSD falls on French fiscal concerns - see the next levels to watch! 👇
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AUD/USD closed lower for a fourth week as the Australian dollar continued to retreat against the FX majors. Yet softer US payrolls, falling Fed hike expectations and increasingly stretched bearish positioning suggest the decline could lose momentum over the near term. With little top-tier Australian data scheduled, the US dollar and FOMC minutes could provide the main directional cues.
Australian Dollar Outlook: AUD/USD Bears to Face Near-Term Reprieve? https://t.co/96tEVa5hkz
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Economic events and broader market themes continue to influence AUD/USD. Explore the latest outlook and the key technical levels to watch in the sessions ahead.
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