AUD/NZD sits at NZ1.0307, 42 pips.......>

AUSSIE-KIWI: AUD/NZD sits at NZ1.0307, 42 pips lower on the day. A strong NZ

labour market report sent the rate tumbling, prompting it to show under

NZ$1.0300. After bottoming out at NZ$1.0265, the pair recovered somewhat to the

present levels.

- Per the NZ jobs report, unemployment fell to 3.9% in Q2 from Q1's 4.2% vs.

exp. of an uptick to 4.3%. Employment and wage numbers also topped forecasts.

- Upbeat jobs data overshadowed a revision to ANZ's RBNZ easing call. The

central bank is now expected to deliver three rather than two additional rate

cuts. The revision put a bid in AUD/NZD early doors.

- After the rate plumbed its new YtD low, bears look for a move back below

NZ$1.3000 and through the Mar 25 low of NZ$1.0276 towards today's worst levels.

Bulls focus on the trendline support-turned-resistance, which intersects at

NZ$1.0355. A rally above would expose the high of Mar 20 at NZ$1.0375.

- Both Antipodean central banks deliver their monetary policy decisions this

week. The RBA goes first, their announcement is due later today. The RBNZ will

announce their decision tomorrow.