Antipodeans Firm As Risk Appetite Improves In Asia

The AUD and NZD are firmer on Monday as risk appetite improves, Hong Kong and Chinese equities are higher with the Hang Seng up ~0.8%.

• AUD/USD prints at $0.6770/75 ~0.3% firmer. The pair sits a touch above the high from Apr 20, with the next target for bulls $0.6806 high from Apr 14 and key resistance. April NAB Business Survey remained robust but showed that conditions are easing. Building Approvals fell in March -0.1% M/M an increase of 3.0% M/M was expected.
• Kiwi is also firmer, NZD/USD is up ~0.2%. We are consolidating in a narrow range above $0.63 handle. Bulls target a break of Apr high at $0.6379, from here they can target year to date highs at $0.6538.
• JPY was pressured in early trade before unwinding losses to deal flat. USD/JPY is now below the 135 handle and is little changed from Friday's closing levels.
• Elsewhere in G-10 EUR is 0.2% firmer and GBP is up ~0.1%.
• Cross asset wise; regional equities ex Japan are firmer, e-minis are little changed today. BBDXY is down ~0.1%.
• There is a thin data calendar today, German Industrial production provides the highlight. UK markets are closed for the observance of a national holiday.