Hopes of further easing of China’s Zero-COVID stance keeps sentiment underpinned
The positive risk tone continues to weigh on safe haven currencies, while high betas AUD and NZD lead the majors to the upside.
Consequently, AUDJPY continues to test the 93.00 handle to the upside, while AUDUSD continues to grind above the 0.67 handle and NZDUSD above the 0.62 handle.
The catalyst behind positive risk tone and main focus among market participants remains hopes for further easing from China regarding its zero-COVID policy. Indeed, RBC simply notes, “people are getting quite excited about some sort of reopening.”
Looking ahead, today’s US session will see the focus remain on China and any further headlines surrounding its zero-COVID policy stance. However, Canada will also be in focus as Statistics Canada releases its latest GDP figures.
The positive risk tone continues to weigh on safe haven currencies, while high betas AUD and NZD lead the majors to the upside.
Consequently, AUDJPY continues to test the 93.00 handle to the upside, while AUDUSD continues to grind above the 0.67 handle and NZDUSD above the 0.62 handle.
The catalyst behind positive risk tone and main focus among market participants remains hopes for further easing from China regarding its zero-COVID policy. Indeed, RBC simply notes, “people are getting quite excited about some sort of reopening.”
Looking ahead, today’s US session will see the focus remain on China and any further headlines surrounding its zero-COVID policy stance. However, Canada will also be in focus as Statistics Canada releases its latest GDP figures.