RBNZ slash rates by 50 basis points

AUD

AUD opens up flat or slightly up against the majors after a subdued day of trading. Locally the ASX 200 fell by -0.1%, as consumer discretionary and technology sectors led losses at -1.6% and -1.2% respectively. Asian equities finished the day mixed, Shenzhen +0.5%, the Hang Seng and Nikkei both -0.5% each. Today the Aussie has MI Inflation Expectations and CNY has New Loans and M2 Money Supply y/y. Today is also the first day back after China’s week-long public holiday. Tomorrow Morning we will see RBA Gov Bullock Speaks which she is due to testify about the Supplementary Budget Estimates 2025-26 before the Senate Economics Legislation Committee.
 

USD

AUDUSD opens flat at 0.6581, with no major market news or announcements as the U.S Government remained in shutdown. Wall St. rebounded overnight with the Nasdaq trading +1%, the S&P 500 +.6%, and the Dow Jones +.1%. Employment data continues to be pushed another week, only major release for the US yesterday was FOMC Meeting Minutes where insight was shared from there September rate decision stating all members were strongly inclined to lower interest rate and the only dispute being how many cuts were coming for the rest of the year. Today will be a rather quiet day as well with no confirmation of data releases with the shutdown.
 

EUR

AUDEUR opens up slightly at 0.5662, with the DAX and CAC both finishing the day up at 0.9% and 1.1%. Yesterday we saw German Industrial Production m/m released at -4.3% down from previous +1.3%, today will have German Trade Balance and ECB Monetary Policy Meeting Accounts which provides in-depth insights into the economic conditions that influenced their decision on their September rate hold.
 

GBP

AUDGBP opens up very slightly higher at 0.4914, the FTSE closing yesterday at 0.7%. An overall quiet week for the pound with no impactful data releases, today will have RICS House Price Balance expected at -18% from previous -19% which can be a leading indicator for housing inflation.
 

NZD

AUDNZD opens up at 1.1382 after reaching highs of 1.1441 off the back of the NZD rate decision before settling at the current rate. The official cash rate was released yesterday where we saw a 0.50% cut which was unexpected by markets as it was forecasted for a 0.25% cut. The cut saw the rate go from 3.00% to 2.50%. There are some growing concerns around growth and the overall health of the economy over the ditch hence the unexpected cut. No data to be released today.