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CIBC Retain Long AUD as Their Highest Conviction View

AUD

CIBC make a revision to their current long AUD/USD trade recommendation - rolling their stop/loss higher from 0.6950 up to 0.7220.

  • The position remains their highest conviction view, citing inflationary shock from Ukraine/Russia and read-through to commodity prices, inflation expectations in Australia hitting a 10y high, a leaning hawkish RBA as well as a still crowded short AUD position via futures positioning.
  • Their AUD/USD target remains at 0.7500.

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