AUD/NZD has added 6 pips and last.......>

AUSSIE-KIWI: AUD/NZD has added 6 pips and last deals at NZ$1.0626. Participants

await the latest RBNZ MonPol decision, due at 0300BST, after the RBA left its

cash rate unchanged yesterday. For our RBNZ preview piece visit

https://emedia.marketnews.com/marketnewsintl/RBNZ_Preview_-_May_2019.pdf.

- The rate dropped into yesterday's Asia open on the back of hawkish trade

rhetoric from U.S. TR Lighthizer & U.S. Tsy Sec Mnuchin, but advanced

subsequently, as firmer iron ore prices aided AUD to a degree.

- The RBA MonPol decision pushed the pair to a fresh intraday high of NZ$1.0643,

as the central bank defied speculation that softer inflation & growth data might

force it to deliver a cut to the cash rate.

- Despite paring some gains later on, AUD/NZD closed 51 pips higher on the day.

- A break above yesterday's high/Apr 25 high of NZ$1.0643/44 would encourage

bulls to take aim at the 200-DMA, which comes in at NZ$1.0661. Meanwhile, the

21-DMA at NZ$1.0615 provides the initial layer of support, with a breach here

opening the psychological NZ$1.0600 level.