APAC Morning Update - 15/03/21

AUDUSD opens at 0.7752 and the NZDUSD opens at 0.7180

The AUD and the NZD sold off on Friday night against a stronger USD, which rallied on the back of a fresh spike in treasury yields.
The prospect of economies around the world emerging from lockdowns has reignited inflation fears, and combine that with huge fiscal stimulus and pent up consumer demand to spend, may see inflation push higher over the coming months.
Add to that, the vaccination roll outs are in full flight all over the world, so are we about to see a potential boom, after over a year of hibernation?


Australia:
We have unemployment numbers out on Thursday, but the future direction of the Australian dollar will be dependent on how the USD performs if US ten year bonds push higher, and the increasing price of commodities.
Soaring copper and iron ore prices over the last six months have justified a higher AUD, but recently, Iron Ore prices have reversed from above US $180/tonne to US$163/tonne which may add further profit-taking by commodity speculators and add downside pressure to the AUD.

New Zealand:
Its 3-3 in the Americas cup, and today could be moving day with 15 knots predicted………… It may not be a currency mover, but the country will be glued to the viewing regardless.

We also have NZ GDP this week, and Australian employment data out this Thursday, and the Dairy auctions this Wednesday, which had a large 21% gain at the last auction.

NZDUSD 0.7180 -0.5%
NZDEUR 0.6005 -0.3%
NZDGBP 0.5160 -0.1%
NZDJPY 78.26 -0.1%
NZDAUD 0.9250 -0.3%
NZDCAD 0.8956 -1.2%
GBPNZD 1.9401 0.2%

AUDUSD 0.7752 -0.4%
AUDEUR 0.6490 -0.1%
AUDGBP 0.5574 0.1%
AUDJPY 84.54 0.1%
AUDNZD 1.0790 0.1%
GBPAUD 1.7945 -0.1%