AUDUSD: Thailand and Australia plan to review their free trade agreement, aiming to further liberalize rules around the movement of goods and services between the two countries.
Australia is Thailand’s sixth largest trading partner, while Thailand is Australia’s ninth largest. The value of two-way merchandise and services trade has doubled to almost A$20 billion since the FTA came into force in 2005 eliminating most Thai tariffs on goods imported from Australia.
We expect a range for today in AUDUSD rate of 0.9760 to 0.9880 (Note: The Aussie might head south once it fall below 0.9800)
STAND ASIDE
EURUSD: British calls for the euro zone–the country’s main trading partner–to tackle its debt and economic crisis have taken added urgency since official data showed the U.K. economy slipped back into recession in the first quarter.
The U.K. government has urged euro-zone countries to solve the problems of Greece; strengthen their banks; build a sufficiently strong firewall to protect countries from the fallout of the crisis; and carry out structural reforms to improve competitiveness.
We expect a range for today in EURUSD rate of 1.2460 TO 1.2580 (There might be a further weakness in Euro.)
STAND ASIDE
USDJPY: While concerns over the health of Spain’s banking system weighed heavily on Spanish equities and bond yields, moves in major currencies were muted Monday, with only small losses in the euro in markets thinned by holidays across some of Europe and the U.S.
With major employment figures from the U.S. due on Friday, many investors are reluctant to forge any new direction. “From a macro perspective, the [currency] market is in a holding pattern now until Friday when non-farm payrolls are released
We expect a range for today in USDJPY rate of 79.30 to 79.80
STAND ASIDE
