Australian dollar off 10-week top, RBA talks up inflation risks
FXA•Inflation expectations ease in New Zealand
The RBNZ on Thursday also released its survey of inflation expectations showing the one-year outlook fell sharply to 2.6%, from 3.4%, taking it back to where it was before the Gulf war drove up fuel prices.
That easing suggested expectations remain anchored and there is less risk of the oil shock feeding through to broader inflation in the country. The key 2-year swap rate NZDSM3NB2Y= was down 4 basis points after the data at 3.5861%.
Australian dollar eases after touching 10-week high
The Australian dollar was just off 10-week highs on Thursday as the country's central bank kept talking up the risks of further increases in interest rates, just as markets pared back the chance of a near-term U.S. tightening.
The Aussie held at $0.7058 AUD=D3, after touching a top of $0.7091 overnight and pipping resistance at $0.7088. The next bull targets are $0.7200 and $0.7277.
