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A round of risk-off flows triggered by a.....>

AUSSIE
AUSSIE: A round of risk-off flows triggered by a state of emergency declared by
California over the Covid-19 epidemic put AUD/USD on the back foot early doors
Thursday, but the rate gradually recovered into Europe. It then took a nosedive
as participants shied away from riskier assets with the Covid-19 epidemic still
in focus. The rate trimmed losses late doors, but failed to recover neutral
lvls.
- AUD/USD trades +5 pips at $0.6619. A break under the Mar 4 low of $0.6577
would reinstate bearish hopes for a resumption of a downtrend, bringing the key
Feb 28 low of $0.6434 into play. Bulls look for a rally though descending
trendline at $0.6624. Above there opens the Mar 3 high of $0.6645.
- Worth flagging an article from the AFR that did the rounds yesterday, pointing
to the RBA adopting a yield curve control policy if it decides to move into the
realms of QE.
- Australia reports retail sales data later today. Next week's docket features
NAB Business Confidence Survey (Tuesday), as well as Westpac Consumer Confidence
Survey, housing finance data & comments from RBA Dep Gov Debelle (Wednesday).

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