APAC Morning Update - 03/03/21

Xe Corporate APAC

March 3, 20211 min read

NZDUSD opens at 0.7290 and the AUDUSD opens at 0.7830

Risk currencies including the NZD and AUD continued to rebound from last week's selloff as bond markets appeared to calm overnight.
The NZD was also boosted by Dairy prices overnight, which have leapt by a huge 15%, which is its biggest jump in over 6 years, giving the local farmers something to cheer about.

In yesterdays RBA announcement, interest rates were left unchanged, but committed to extend their bond buying by another $100 Bln. In the statement following the announcement, the RBA committed to do more “if necessary” and is affirming it will do “whatever it takes” to keep its target three year Govt Bond yield target in spite of the potential for global inflation.

Into March:

Last week's selloff was a great opportunity for exporters to get some cover, and with this overnight bounce, it may be time for importers to start looking again at orders, especially with the continuation of large moves in the European and US trading sessions.

AUDUSD 0.7834 0.8%
AUDEUR 0.6478 0.4%
AUDGBP 0.5608 0.5%
AUDJPY 83.6 0.7%
AUDNZD 1.0725 0.3%
GBPAUD 1.7831 -0.5%

NZDUSD 0.7304 0.7%
NZDEUR 0.6040 0.2%
NZDGBP 0.5227 0.2%
NZDJPY 77.94 0.6%
NZDAUD 0.9323 -0.2%
NZDCAD 0.9209 0.1%
GBPNZD 1.9128 -0.2%