Global FX Strategist – July 2013

The asymmetric (downside) risks we alluded to in our previous AUD forecast update have eventuated and we have now made further downward revisions.
The Fed’s return to the (early stages) of policy normalcy in itself justifies an AUD/USD in the low 0.80s.

By

  • The asymmetric (downside) risks we alluded to in our previous AUD forecast update have eventuated and we are now make further downward revisions.
  • The Fed’s return to the (early stages) of policy normalcy in itself justifies an AUD/USD in the low 0.80’s.
  • Terms of Trade headwinds from slower China growth and supply increases also a weight through 2014.

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