29 Apr 2015
AUD/USD year-end target at 0.70 – ANZ
FXStreet (Barcelona) - Daniel Been, Senior FX Strategist at ANZ, notes fundamentally AUD is set to weaken after seeing a brief period of consolidation, targeting the pair at 0.70 by 2015-end.
Key Quotes
“The drivers of AUD weakness are shifting. Behavioural valuation looks closer to fair, and the commodity and interest rate markets are pricing our central scenario.”
“The USD is also becoming a weaker near-term influence, and a recovery in the US data pulse is needed for this trend to reassert. Otherwise a period of consolidation is likely for the AUD.”
“Looking further out a re-rating of the AUD and of the underlying risk structure of the Australian economy will drive further weakness and we expect the AUD to be closer to USD0.70 by the end of the year.”
“We have, though, instituted a long AUD/NZD trade”
Key Quotes
“The drivers of AUD weakness are shifting. Behavioural valuation looks closer to fair, and the commodity and interest rate markets are pricing our central scenario.”
“The USD is also becoming a weaker near-term influence, and a recovery in the US data pulse is needed for this trend to reassert. Otherwise a period of consolidation is likely for the AUD.”
“Looking further out a re-rating of the AUD and of the underlying risk structure of the Australian economy will drive further weakness and we expect the AUD to be closer to USD0.70 by the end of the year.”
“We have, though, instituted a long AUD/NZD trade”