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AUD/NZD hints at swing low before RBNZ, ASX seeks breakout: Asian Open
Odds of the BOC cutting interest rates in June rose to 48% from 40% following Tuesday’s inflation report, which saw annual trimmed mean inflation join the BOC’s other two key CPI metrics within the 1-3% target band. Core CPI slowed to 1.6% y/y (from 2%), well below the 2% midpoint, median CPI slowed to 2.6% and trimmed mean to 2.9%. More importantly, the high levels of monthly inflation in last month’s report appear to have been a blip, with core CPI slowing to 0.2% m/m (0.6% prior) and CPI down to 0.2% from 0.3%. USD/CAD reached my upside target mentioned in yesterday’s CPI preview, although it is likely ... (full story)