Welcome to our daily market update where we help keep you informed on the latest happenings in the world of FX and show you what this means for the Mighty Aussie Dollar.
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Key Data Being Released Today
New Zealand – Food Prices (MoM)
New Zealand – Performance Services Index
Macro Report
Risk negative sentiment took a U-turn last night when it was announced that some Russian troops will be returning to their base after the military exercises were complete. President Putin noted that Russia wanted to avoid war in Europe and seek diplomatic solutions to the issues however, there has yet to be a proper response to their security proposals.
This was enough for the markets to sell safe haven currencies such as the JPY in a flight to riskier currencies such as the AUD which rallied up to 0.7157 at the peak. Furthermore, stock indexes were back higher putting a stop to the recent sell off. This charge was led by the NASDAQ that has rallied back 2.5% overnight.
Rate markets all sold off (higher yield) as well off the positive sentiment, with the market having mostly digested the high inflation in the US and what the Fed may or may not have to do to adjust their policy settings. Focus still remains heavily skewed towards the situation with Russia and the Ukraine.
AUD/USD Daily Chart
DXY (USD INDEX) Daily
Major Global Markets
| Currencies | Level | Change (%) |
| AUD/USD | 0.7152 | 0.35 |
| AUD/JPY | 82.698 | 0.43 |
| AUD/CNH | 4.5329 | 0.03 |
| DXY | 96.0010 | -0.39 |
| Rates | Yield (%) | Change (%) |
| US 10 Year | 2.045 | 0.06 |
| Aus 10 year | 2.265 | 0.07 |
| Equities | Level | Change (%) |
| S&P 500 | 4471 | 1.58 |
| NASDAQ | 14621 | 2.47 |
| ASX 200 | 7207 | -0.51 |
| Commodities | Level | Change (%) |
| Iron Ore | 135.87 | -0.88 |
| Gold | 1853.25 | -0.96 |
| Brent Crude oil | 93.15 | -3.45 |