Antipodeans Extend Gains

The Antipodeans have extended early gains in recent dealing, as the PBOC continues to support the Yuan with stronger than expected fixing. US Equity Futures are bid and Tsy Yields have ticked lower boosting sentiment at the margins.

• AUD is the strongest performer in the G-10 space at the margins, as improving sentiment in the metals space adds support. AUD/USD prints at $0.6445/50 and is ~0.4% firmer today. Resistance comes in at $0.6480, high from Aug 16.
• Kiwi is ~0.3% firmer, NZD/USD last prints at $0.5965/70. Bulls look to regain the $0.60 handle to target the 20-Day EMA ($0.6039).
• Elsewhere in G-10, Yen is ~0.2% firmer benefiting from lower US Tsy Yields. The scandies are also ~0.2% firmer although liquidity is poor in Asia.
• Cross asset wise; US Tsy Yields are down ~2bps across the curve. E-minis are ~0.3% firmer, BBDXY is down ~0.1%. In the metals space Iron Ore futures are ~2.4% higher and Copper is up ~0.5%.