AUD climbed to the top of the G10 pile.......>

AUSSIE: AUD climbed to the top of the G10 pile only to slump back to the bottom

overnight. Initial move higher was facilitated by a relatively strong AU labour

mkt print, with unemployment slipping to 5.0% from 5.1%. However, AUD crosses

nosedived subsequently, as NAB hiked its variable mortgage rates by 12-16bp

citing an increase in funding costs, with market reaction driven by the RBA's

perceived reaction function owing to the wealth effect. 

- AUD/USD last $0.7105, 37 pips lower. Initial support noted at the

psychological $0.7100 level, ahead of the lower 2.0% 10-DMA envelope at $0.7024.

Meanwhile, initial topside focus falls on the 21-DMA at $0.7124.

- AUD/JPY slipped 42 pips and last sits at Y77.85. Bears eye the 21-DMA at

Y77.73 before challenging the Jan 14 low of Y77.57, while bulls look for a jump

back above the psychological Y78.00 level breached overnight, before targeting

Tuesday's high of Y78.53. 

- AUD/NZD last NZ$1.0487, 34 pips lower, with initial support located at the

1.0% 10-DMA envelope at NZ$1.0467, followed by the Jan 4 low of NZ$1.0460.

Meanwhile, bulls initially focus on the NZ$1.0500 figure breached overnight.