Intraday Market Thoughts

Tonight's AUD CPI & Tomorrow's RBNZ

by Ashraf Laidi
Jul 22, 2014 19:18

RBA governor Glenn Stevens was unusually silent last night with regards to talking down the Aussie. Does that mean tonight's Q2 CPI figures will be soft? And what do we make of tomorrow's RBNZ decision? Will the central bank go for the much telegraphed fourth rate hike despite an 8% decline in milk prices and escalating financing costs to dairy producers? Less than four weeks after we closed both of our AUDNZD longs at a profit, we issue 2 new trades on the pair, ahead of tonight's Aussie Q2 CPI and tomorrow's RBNZ decision with 3 charts highlighting the latest decline in dairy prices and technicals in AUD vs NZD. Meanwhile, our 2nd Premium short in EURUSD at 1.3610-1.3640 has hit its final target of 1.3460, for a total of at least 170 pips. This happened after the other EURUSD short from June 5th at 1.3660-1.3690 hit its final target of 1.3530 on Jul 16. Both EURAUD shorts are currently netting a total of 250 pips. Finally, the Premium Insights are also currently short EURJPY, with one trade at an entry of 137.40-137.70 and another trade at an entry of 138.00-138.30, netting a current running profit of 250 pips. Full full access to subscribers' Premium trades, please click here

Act Exp Prev GMT
Consumer Price Index (Q2) (q/q)
0.6% 0.6% Jul 23 1:30
RBA trimmed mean CPI (Q2) (q/q)
0.6% 0.5% Jul 23 1:30
Consumer Price Index (Q2) (y/y)
3.1% 2.9% Jul 23 1:30
RBA trimmed mean CPI (Q2) (y/y)
2.7% 2.6% Jul 23 1:30

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