AUD carry trades... - Blogs - Aussie Stock Forums

View RSS Feed


AUD carry trades...

Rate this Entry
focus will be on Asian equities. If they falter on weak US equities overnight,
they could reduce the appetite for carry trades. In particular, AUD/USD will find it
increasingly difficult to ignore downside risks in Asian equities... against a weak equity background, markets will favour currencies that depend more on domestic demand than exports for growth...
'tis others' opinion.

In any case, the arrow seems to be pointing at RBA's hold on the current rate, with US Fed doing nothing with theirs, RBA is running out of option... the rate has to come down - my guess.
Attached Thumbnails Attached Images  

Submit "AUD carry trades..." to Digg Submit "AUD carry trades..." to del.icio.us Submit "AUD carry trades..." to StumbleUpon Submit "AUD carry trades..." to Google



  1. haunting's Avatar
    The return of 'Mrs Watanabe'

    TOKYO - Mrs Watanabe, the market's metaphor for Japan's housewife yen speculators, has come back to life. A star of the yen trade's golden days from 2000 until mid-2007, she suffered big losses in the financial turmoil over the past few years. But like a phoenix - or a zombie - she is rising from the ashes as market stability increases risk appetites and yen-selling positions pile up...
    Yen sales by Japanese individual investors against the Australian and New Zealand dollars rose to their highest in almost nine months this week, according to data from the Tokyo Financial Exchange (TFX). Net long positions held by individual investors on the Southern Hemisphere currencies reached 127,752 contracts on June 23, the highest since October 3, the data from Japan's largest financial futures market showed. Long positions are bets that a currency will rise.

    Most notably, net long positions on the Australian dollar against the yen rose to 97,643 contracts among retail investors on June 23, the highest since August 29, returning to record-high levels similar to those before the collapse of Lehman Brothers in September 2008, data also showed...
    ** for as long as RBA and NZCB are keeping a relatively high interest rate, these proverbial ladies will be piling on their bets until... something breaks. What and how will be the holy grail for this round, I guess.
Aussie Stock Forums