Commodity FX (CAD AUD NZD NOK)

Westpak sees RBA rate CUT starting in December

From MNI FX Bullets

AUSTRALIA: From suggesting a easing bias as an appropriate policy
response from the RBA, Westpac makes a startling change in its forecast
for cash rate, now expecting 100bps of cut until the end of 2012. The
first cut of 25bps will happen in December, Westpac says. "While the
catalyst for the first rate cut is likely to come from offshore we do
not expect it to be a one off. Interest rates are too high in Australia
given the state of the non-mining sectors of the domestic economy and a
downward adjustment is required to avert a damaging round of
contraction. This rate adjustment is likely to take a similar form to
previous easing cycles," Westpac says.

Ashraf