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Thursday saw ANZ recommend a short AUD/CAD....>

FOREX
FOREX: Thursday saw ANZ recommend a short AUD/CAD position at C$0.9439, with a
target of C$0.9100. ANZ will re-assess if the cross hits C$0.9650.
- ANZ continues to think "that a (RBA) cut is on the cards next week and history
tells us that RBA easing in similar environments still produced a persistent
negative reaction in the currency. The present level of short positioning in
futures would typically temper the downside, but we think this is less of a
factor as other indicators like the risk reversal are pointing in the opposite
direction. We also don't think that this positioning would be substantially
unwound in the case of 'no cut' as inaction will be perceived only as a delay."
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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