AUD/NZD has dropped 8 pips and last.....>

AUSSIE-KIWI: AUD/NZD has dropped 8 pips and last deals at NZ$1.0471, with the

Antipodeans sitting at the bottom of the G10 pile, in the wake of soft data out

of Australia. Key econ releases today included AU retail sales & trade balance.

A 0.4% decline in retail sales (vs. exp. of no change) occurred amidst RBA's

concern re: consumer behaviour in the face of the downturn in housing prices.

Meanwhile, Australia posted a wider than exp. trade surplus, but the headline

print masked a weak breakdown, with both imports & exports shrinking in Dec. 

- The pair has breached NZ$1.0479, where it bottomed yesterday, and bears now

focus on Jan 29 low of NZ$1.0451, hoping to gain some momentum. Bulls eye

yesterday's peak at NZ$1.0519, ahead of the 50-DMA at NZ$1.0535. 

- As a reminder, the RBA will deliver its MonPol decision at 0330GMT/1430AEDT.