Spot desk: AUD & NZD putting some pain on here as US fixed income grinds higher and model stops go off. There is some heavy selling interest at 0.8500 in kiwi, and I would expect stops behind it. In Aussie, there was good supply at 0.9320 yesterday, we’ll see if it holds today. We are flat on the desk…don’t see much opportunity at the moment.
Eurozone GDP printed at 0.0% relative to market expectations of 0.1%. this was a touch weaker given the weaker-than-expected German release this morning. this is also weaker than the ECB’s staff projections, but do note that there were technical factors behind this print (including a rounding down). this continues to show weak growth in the Eurozone and we would look to sell any rallies in the EUR targeting 1.31
Cad – slowly worked its way through bids 1.0915 -00 reckon up to usd 750m bought. Still being patient and looking for lvls sub 1.0880 to start buying. Note a number of bank’s strategy stops on buy reccos are parked at 1.0860 below the 100dma (1.0870) and 200dma (1.0864)