:: Australian Dollar: With no Australian economic data released yesterday the local unit followed global sentiment to trade higher in early trade. The AUD/USD edged towards 71 cents but fell short of the mark to enter offshore exchange back around 0.7050. Despite an early attempt at another rally in London trade the AUD drifted lower with the move accelerating near the New York close to open this morning on its lows at 0.6940. Demand for the Greenback remerged as global investors took profit on U.S equities and “riskier” assets in general with AUD/JPY losing 2.5% from the Asian close to exchange at 67.85 this morning.

- We expect a range today in the AUD/USD rate of 0.6920 to 0.7000

:: Great Britain Pound: Uncertainty surrounding financial markets and the U.K economy saw the GBP/USD bounce between 1.4630 and 1.4770 for the majority of the offshore session. Retail Prices in the U.K came in surprisingly strong for the month of February rebounding from January’s 1.3% drop beating expectations of another 0.1% fall to record a 0.6% increase. CPI data also bucked the recent trend with inflation climbing 0.9% in February taking the annual inflation rate to 3.2%. The data would usually see the Pound Sterling gain ground against the Greenback however a flight back to the big dollar as risk appetite subsided halted attempts for any move higher. This morning sees Sterling open at 1.4670 and 2.1100 against the U.S and Australian dollars.

- We expect a range today in the GBP/AUD rate of 2.1000 to 2.1200

:: New Zealand Dollar: The Kiwi’s recent stellar run higher came to an abrupt end in overnight trade with a big drop coming in late U.S trade. This morning sees NZD/USD open on its lows at 0.5612 as global risk appetite once again deserted the New Zealand dollar bulls. Today sees first quarter consumer confidence data which could see more downside emerge in Asia today however the main focus for local investors will be tomorrows December quarter current account which is expected to see a further blow out in the deficit. On the cross rates early morning exchange sees the NZD trade at 1.2365 and 54.85 against the AUD and JPY respectively.

- We expect a range today in the NZD/USD rate of 0.5550 to 0.5650

:: Majors: The Euro lost ground against the Greenback in overnight trade slipping back to 1.3430 down 2.2% from its high of 1.3735 earlier in the week. The euphoria surrounding Monday’s announcement by the U.S Treasury wore off and equity markets lost over 1% of yesterday’s gains triggering a flight back to safety. Slightly better than expected PMI data out of Europe failed to inspire confidence in the Euro as it slipped towards critical short term support at 1.3410 while in U.S economic data the Richmond Fed Manufacturing Index surprised to the upside, adding support to the big dollar. The Japanese Yen strengthened against the Greenback and Euro to finish at 97.70 and 131.50 respectively.

:: Data Releases:

• AUD: No Data Expected today

• NZD: Q1 Consumer Confidence

• USD: Feb Durable Goods & Feb New Home Sales

• GBP: No Data Expected today

• EUR: Ger Mar IFO

• JPY: Feb Merchandise Trade Balance & BoJ Deputy Governor speaking

• CAD: No Data Expected today

:: Note: The above exchange rates are based on interbank rates. If you are considering a transfer then please login, register or call us for a live dealing rate.