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19 Feb 2014
Flash: Stay short AUD/USD for now - JPMorgan
FXStreet (Bali) - AUD/USD continues to be a sell, according to Paul Meggyesi, FX Strategist at JP Morgan Securities.
Key Quotes
"AUD rate expectations have re-priced significantly in the last two weeks courtesy of the RBA and pockets of better data, but the downbeat labor report was a reminder of the longer-term structural challenges which face the economy and which should still weigh on the currency over and beyond the current bout of short-covering."
"Much above 90 cents, moreover, and it would not be unreasonable to suppose that the RBA might once again become discomforted by the level of the currency and inclined to lean verbally against this trend once more."
Key Quotes
"AUD rate expectations have re-priced significantly in the last two weeks courtesy of the RBA and pockets of better data, but the downbeat labor report was a reminder of the longer-term structural challenges which face the economy and which should still weigh on the currency over and beyond the current bout of short-covering."
"Much above 90 cents, moreover, and it would not be unreasonable to suppose that the RBA might once again become discomforted by the level of the currency and inclined to lean verbally against this trend once more."