From Westpac in New Zealand's morning note:
Firstly, on the local Australian calendar:
- The March trade balance is expected by Westpac to be $4.0 bn, up $0.4 bn from February
- Export earnings rise a forecast $0.8bn, +2.5%, and for imports, we've factored in a rise of 1.5%, $0.4bn.
- RBA Governor Lowe speaks on "Household Debt, Housing Prices and Resilience" in Brisbane. This should largely mirror the Apr Financial Stability Review.
& their 1-3 months outlook for the AUD:
- The modestly weaker than expected Australian CPI outcome has added yet another factor capping the A$: softer commodity prices; a more protectionist stance from US President Trump, and higher US yields if the Fed raises rates in June as we expect.
- These leave the A$ with strong resistance at 0.76. We expect to see it heading towards 0.74 by year end.
A pretty good rundown on the current state of affairs impacting re AUD
