Market Watch APAC – 8th May 2024
The AUDUSD has steadily retreated from earlier in the week highs, after the RBA holds on the Cash Rate and sticks to a neutral tone, though the slowing economy would all but rule out a hike. The RBA showed a level of concern for the slowing pace of disinflation that could potentially delay their first cut to rates in this cycle. The AUDUSD has slipped back from the strong resistance at 0.6650/75 zone and opens the Asia session sub-0.6600 figure. Analysts will be looking for support to emerge at 0.6550’s n any further corrective moves.
Wall Street stocks gave back earlier gains in the session but hung on for a positive move, as investors pondered the likelihood and timing of the Fed rate cuts this year. The DJI rose +0.07%, while the S&P500 gained +0.1% and the Nasdaq added +0.1% for the session. Australian shares are looking to open slightly higher today, tracking Wall Street moves and investors sift through the RBA Statement assessing their rate outlook, after they kept the Cash Rate steady for the month.
Gold prices gave back previous session gains, as investors reconsidered the timing of rate cuts this year. Spot gold was down -0.3% at $2,324.20.
Copper prices were higher for the day, as focus returns to proposed stimulus measures for China to shift demand and the possibility of tighter supply. The Dalian Iron Ore futures price remained largely unchanged as traders assess proposed stimulus measures for the property sector and as the restocking of steel inventories following their holiday break continues.
Brent Crude prices settled almost flat, as traders juggled easing supply concerns and signs of diminishing demand.
| AUDUSD
Open today 0.6598 Yesterday’s Range 0.6587 / 0.6643 |
NZDUSD
Open today 0.6002 Yesterday’s Range 0.5996 / 0.6025 |
AUDNZD
Yesterday’s Range 1.0974 / 1.1031 |
| AUDEUR
Yesterday’s Range 0.6123 / 0.6165 |
AUDCNH
Yesterday’s Range 4.7561 / 4.7931 |
AUDGBP
Yesterday’s Range 0.5253 / 0.5286 |
