AUD crushed as banks foresee RBA rate cuts....>

FOREX: AUD crushed as banks foresee RBA rate cuts

-AUD is comfortably the worst performer in G10 FX Thursday, with AUD/USD trading

either side of the $0.71 handle despite a firmer than expected jobs report out

overnight. Westpac shifted their RBA forecast for 2019, now expecting the RBA to

cut rates twice this year (in August and November), which undermined the

currency and erased all jobs report-inspired gains. Elsewhere, headlines crossed

that key a Chinese port in Dalian had placed a ban on Australian coal imports,

which pressed the currency further still.

-China FX outperformed for much of the Asia-Pacific session, but the moves have

been reversed ahead of NY as profit-taking and MNI reports, citing Chinese

advisors, suggested CNY gains could be capped if trade talks succeed.

-JPY and GBP are the top performers Thursday, although both trade well within

yesterday's ranges. Risk sentiment has been somewhat supported throughout, with

US equity futures indicating a higher open today.

-US weekly jobless claims, durable goods and PMIs are the highlights. ECB

minutes and speeches from Fed's Bostic, ECB's Praet and BoC's Poloz are due.