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Aussie 3-mth high vs NZ$; awaits RBA policy statement

Published: 05 Nov 2009 17:36:43 PST

--------------(Snapshot at 8:00 a.m./2100 GMT)----------------- FOREX (vs Late Sydney) DEBT FUTURES (Night Session) <AUD=>

0.9103 (0.9051) 90-DAY <YBAc1> (DEC) 95.88 (95.88) <AUDEUR=R> 0.6120 (0.6099) 3-YR <YTTc1> (DEC) 94.90 (94.93) <AUDJPY=R> 82.60 (81.84) 10-YR <YTCc1> (DEC) 94.38 (94.40) <AUDNZD=R> 1.2596 (1.2573) US10-YR <US10YT=RR> 3.53 (3.51) --------------------------------------------------------------- AU$S/Term range *Support *Resistance *RSI-14 *MA-10 *MA-20 *0.8900/9250 *0.9080 *0.9125 *50.787 *0.9096 *0.9136 ----------------------------(Nov 6)----------------------------

* Australian dollar <AUD=D4> offshore range $0.9064-0.9124.

* Aussie a touch firmer helped by a jump in U.S. stocks and strength against the New Zealand dollar where it is at a three-month high. * Aussie climbed to as high as NZ$1.2645 <AUDNZD=> after breaking above a key level of NZ$1.26. It had traded at NZ$1.2573 here late Thursday.

* That helped Aussie to rise even against a firmer U.S. dollar to $0.9103, from Thursday's $0.9051.

* Markets now waiting for the Reserve Bank of Australia (RBA) to release its statement on monetary policy at 0030 GMT, where it is likely to upgrade inflation and economic growth forecasts.

* Investors are intent on clues about whether the RBA will raise interest rates again in December after having done so the previous two months.

* RBA Deputy Governor Ric Battellino also speaks at 0620 GMT and again, investors will be scouring for hints about the next rate move.

* RBA Governor Glenn Stevens provided few clues in a speech late Thursday, though he was very upbeat on the outlook for the economy. He emphasises there was only some spare capaicty left, meaning the economy might not be able to grow much before inflation became a danger.

* Stevens would not put a number on the neutral level for rates, but repeated it was likely higher than the current 3.5 percent. [ID:nSYU009003]

* U.S. stocks rose 2 percent on Thursday, with the Dow closing above 10,000 after a rise in business productivity and a drop in jobless claims helped sentiment. [.N] [ID:nN05106320]

* Australian bond futures fell, tracking losses in U.S. Treasuries.

* Three-year bond futures <YTTc1> were indicated down 0.03 points at 94.90, and the ten-year contract <YTCc1> was indicated down 0.02 points at 94.38.