Xu Yaxin: Australian Dollar Long Jedi Counterattack

< p > with the "a href=" //www.sjfzxm.com/news/index_c.asp "> Europe" /a ", the central bank declared negative interest rates, and the rising liquidity confidence and risk appetite began to effectively counter the Australian dollar / dollar multi organizations. < /p >
< p > the Central Bank of China has announced that since June 16th, commercial banks (which do not include the institutions that have cut the reserve ratio in April 25, 2014) have cut the RMB deposit reserve ratio by 0.5 percentage points to a commercial bank which meets the requirements of prudent operation and has reached a certain proportion of loans to farmers and small and micro enterprises. < /p >
< p > I believe that the a href= "//www.sjfzxm.com/news/index_c.asp" of the Central Bank of China has eased the worries of investors on the hard landing of China's economy to a certain extent. Many institutions have increased the economic growth of China in the third quarter, thus pushing the Australian dollar / dollar to further up attack and breaking down the downward pressure line between 0.9460 and 0.9408 high points. < /p >
< p > if the exchange rate can be closed at the top of the downward pressure line in the future, then the big Jedi counter attack that means a long Australian dollar will probably succeed, and the price will continue to look high. < /p >
< p > the RBA announced in June 3rd that it maintained the < a href= "//www.sjfzxm.com/news/index_c.asp" > the benchmark interest rate < /a > 2.50% unchanged, consistent with the market consensus. After the meeting, the RBA announced that it had continued its previous stance, that is, "the most prudent choice of the Fed is to maintain interest rate stability over a period of time". < /p >
< p > the RBA has made eighth consecutive meetings and decided to maintain its cash interest rate unchanged at a record low of 2.5%. The bank has cut interest rates by 225 basis points since the end of 2011. < /p >
< p > I believe that under the circumstances of falling commodity prices, the RBA will certainly be vigilant against the high Australian dollar. As the pace of global economic recovery accelerates, commodity prices are expected to regain kinetic energy in the medium term. Although the RBA's "verbal intervention" will bring some pressure to the Australian dollar in the short term, the RBA is likely to raise interest rates earlier than the fed in the medium to long term, which will be a very favorable potential factor for the Australian dollar. < /p >
< p > warm reminder: there is considerable risk in foreign exchange and gold market transactions. Therefore, you must carefully consider your investment objectives, investment experience and risk taking ability. The standpoint of this article represents only the analyst's personal suggestion. If we enter the market, the risk must be borne by ourselves! < /p >