A$ Capped At 50-Day EMA, AUD/NZD Weakness Persists

AUD/USD was volatile post the Asia close. We currently track in the 0.6690/95 region, posting a 0.33% gain for Thursday's session.

• Dips under 0.6660 were supported but a late NY session move above 0.6700 wasn't sustained. This was right around the 50-day EMA, which intersects at 0.6708. A clear breach of this average is required for a stronger bounce and open 0.6772, the Apr 20 high. On the downside, the key support to watch lies at 0.6565, the Mar 10 low.
• The main focus today will be the RBA's Quarterly Statement on Monetary Policy (out at 02:30 BST, 11:30am AEST). Also out is Mar housing loans data. The market expects a -0.3%m/m outcome, versus -0.9%.
• The A$ lagged the NZD during Thursday's session. The AUD/NZD cross falling to 1.0620/25 in NY trade, before recovering back above 1.0650. The aggregate commodity index edged higher slightly aided by oil stability, but iron ore prices still remain sub $100/ton. The aggregate metals index still fell, down for the third straight session.
• A weaker equity backdrop in the EU/US didn't weigh materially on AUD/JPY, with dips into the 89.25/50 region supported, we last tracked near 89.80/85.