AUD looks to RBA at 11.30am AEDT
The Australian dollar weakened again overnight, falling for a seventh consecutive session ahead of today’s closely watched Reserve Bank of Australia minutes.
AUD/USD fell 0.4%.
Across the Tasman, the kiwi was hit even harder, with NZD/USD down 0.5%.
Losses were driven by a stronger US dollar, with the dollar index pushing to ten-month highs as US equities fell again overnight. The S&P 500 slipped 0.4%, while the Nasdaq lost 0.7%.
Elsewhere, the euro and British pound also weakened, while the Canadian dollar and Swiss franc held steady.
USD/SGD at three-month high as Middle East risks grow
Tensions in the Middle East remain elevated, with no clear path toward de-escalation.
Despite President Trump’s calls for a deal with Iran, strikes on Iranian targets and retaliatory attacks across the region have continued. Yemen’s Houthi rebels may now be stepping up their involvement, increasing risks to key shipping routes in the Red Sea.
The US has sent additional troops to the region, while talk of a possible ground operation is gaining traction, adding to uncertainty across global markets.
In Asia, USD/SGD is edging closer to the psychologically important 1.2900 level and is now at a three-month high.
Near-term support sits at the 21-day EMA around 1.2791, followed by the 50-day EMA near 1.2775.
USD/CNH eased overnight, down 0.1% after slipping back from one-month highs.
BoJ hints at moving faster on global tensions
The Bank of Japan’s March meeting summary shows policymakers feeling increased pressure to act. One board member said rates may need to rise sooner if unrest in the Middle East drags on. Others agreed that decisions on the pace of tightening should be guided by fresh information, including the latest Tankan survey, feedback from regional managers and company-level reports.
Several members warned that price pressures are building and that the central bank risks falling behind. Some pushed for an earlier pullback from easy policy, arguing that inflation needs to be contained and that borrowing costs remain well below normal levels.
USD/JPY has climbed to a 20-month high and is trading close to the closely watched 160.00 mark at the time of writing. On a pullback, initial support may emerge near the 21-day moving average around 158.57, followed by the longer-term 50-day average near 157.37.
USD hits new highs
Table: seven-day rolling currency trends and trading ranges
Key global risk events
Calendar: 30 March – 3 April
All times AEDT
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*The FX rates published are provided by Convera’s Market Insights team for research purposes only. The rates have a unique source and may not align to any live exchange rates quoted on other sites. They are not an indication of actual buy/sell rates, or a financial offer.
