- RBA keeps rates at 2.50%, says AUD is still “uncomfortably high”
- Nikkei hits 6-month high
- U.K. construction PMI coming up
The higher-yielding currencies took back some pips from the Greenback during the U.S. session after the better-than-expected U.S. manufacturing PMI and increased possibility of the Fed tapering translated to risk appetite for the Asian investors. Nikkei popped up to its six-month high while the yen fell further across the board.
The RBA also caused volatility during the Asian session. The central bank kept its interest rates steady at 2.50% but warned that the Aussie is still “uncomfortably high” and that their economy needs a cheap currency. AUD/USD fell to the .9065 area at the release of the news but is currently back to the .9100 psychological level.
Up next for today is Spain’s employment numbers at 9:00 am GMT, followed by the U.K.’s construction PMI at 10:30 am GMT. Another upside surprise from the U.K. could convince the bulls to bounce right back and push the currency up from its intraday lows. Keep close tabs on these reports!
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Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!