AUD/NZD strength post-AU labour market.........>

KIWI: AUD/NZD strength post-AU labour market report & CAD weakness weighed on

NZD/USD, which last deals 10 pips or so softer on the day at $0.6555. This comes

after the pair was boosted by the U.S./China trade & NAFTA headlines Wednesday.

- Fonterra announced a total cash pay-out for the 2017/18 season of NZ$6.79 per

kgMS, and left its FY18/19 Farmgate Milk Price forecast unch. At NZ$6.75. The

co-op also reported the first annual loss in its history.

- REINZ home sales rose 3.1% Y/Y in August, with the house price index up 4.1%

over the same period.

- Support is noted at the YTD low ($0.6501), intertwined with touted option

linked support at $0.6500. A break here is likely to accelerate the move to

$0.6462 (February 02 2016 low), ahead of the 2016 lows ($0.6348). Resistance is

located around $0.6640.

- The NZ docket is somewhat limited for the remainder of the week so the pair is

likely to trade off of global risk perceptions & the direction of the AUD/NZD

cross. Domestic focus now moves to next week's NZ GDP release and Q3 Westpac

Consumer Conf. survey.