Free Trial

Key Support Remains Exposed


Pullback Extends, But Still Looks Corrective in Nature


FED Remains in Play Post-NFP/ISM Data

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

AUD/NZD Below Key Moving Average Levels Ahead Of RBA Decision


The AUD/NZD cross is struggling to hold above the 1.1000 level (last 1.0990). The pair lost 0.34% yesterday and is now down 4.3% from late September highs. The simple 200-day MA is just above current spot levels at 1.1002 (the 200-day EMA is slightly higher at 1.1019), but we are comfortably below other simple MAs.

  • NZD has seen some outperformance relative to AUD compared to AU-NZ yield momentum, although these trends may have been influenced by NZ WGBI related flows. For instance, the AU-NZ 10yr government bond yield spread is back to -45bps, compared to mid-October wides at -73bps.
  • AUD/NZD versus the AU-NZ 2yr swap spread presents a less supportive picture from the AUD standpoint.
  • Other drivers, such as relative data surprises and relative commodity price trends are still skewed in NZD's favor, although the cross has clearly played some catch up to the downside with these trends.
  • It may take a hawkish RBA surprise to help shift momentum back in AUD's favor in the near term.

Fig 1: AUD/NZD Versus Key MA Levels

Source: MNI - Market News/Bloomberg

To read the full story

Why Subscribe to

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.