Australian Dollar:
Having look set to end the week on a positive note the Australian dollar managed to keep its head above the 1.03 mark for much of Friday’s session with investors keen to pressure weekly highs just short of the 1.0350 handle. Despite its strong early efforts the Australian dollar was broadly sold overnight after a report showed US gross domestic product increased less than forecast in the first quarter. Dampening demand for riskier backed assets such data flows do suggest growth in the world’s largest economy is struggling to impress. In what’s gearing up as a busy week of economic releases abroad, manufacturing PMI figures from China on Wednesday will be critical for the Aussie in determining whether resistance around 1.03 can be turned into new support. Meanwhile this morning sees the Australian dollar is weaker, whilst in familiar territory at 1.0282

We expect a range today of 1.0250- 1 .0310

New Zealand Dollar
Weighed down by a US Growth reading overnight on Friday which disappointed investors the New Zealand dollar opens the new week lower when compared against the Greenback. Taking its toll on global risk sentiment signs of economic stagnation throughout the world’s largest economy has not been well received. Moving from highs of 0.8537 the New Zealand dollar has for the time being consolidated its losses as it currently buys 84.85 US Cents. On the outlook today given both Chinese and Japanese markets remain closed due to a Bank Holiday, Business Confidence figures expected out locally tomorrow morning will be the first hurdle for New Zealand’s currency.

We expect a range today of 0.8450 – 0.8520

Great British Pound:
The Great British Pound opens this new week stronger, having staged an impressive rally over the past three trading days. Whilst a weaker Greenback has certainly played its part in propping up the Sterling, a positive growth reading on Thursday is still filtering its way through the market. Stopping just short of 1.55 handle the Sterling is stronger this morning at a rate of 1.5479. Highlighting just how far the Pound has travelled the Sterling is also stronger when compared against both the Aussie (1.5055) and the Kiwi (1.8240)

We expect a range today of 1.5020 – 1.5080

Majors:
The US dollar maintained its losses against the majority of its major peers late last week after a US GDP reading missed estimates. Adding to concerns surrounding the world’s largest economy, figures showed the US economy grew by 2.5 percent in the first quarter, falling well short of the forecasted reading of 3.1 percent. Whilst adding to the miserable tone of US data releases of late the big mover overnight on Friday was the Japanese Yen which captured its first weekly rally against the Greenback since March. Triggering a remarkable rally the USD/JPY quickly moved from opening levels of 99.23 down to an eventual low of 97.94. Suggesting that weakness in the Yen may have been overdone it would of surprised few to see the Bank of Japan hold additional stimulus measures when they met on Friday. Also coming into focus on Friday were rumours that European Policy Makers may look to accelerate a shift away from its austerity first agenda. With incoming Italian PM Enrico Letts set to be sworn in today, last weeks record unemployment reading in Spain (close to 30%), has many economists arguing the focus on austerity ahead of growth has become a miss-match. This morning the shared unit is marginally stronger at 1.3045 against the Greenback.

Data releases

AUD:
No data today

NZD: No data today

JPY:
Bank Holiday

GBP: Nationwide HPI m/m

EUR:
Italian 10-y Bond Auction,

USD:
Personal Spending m/m, Pending Home Sales m/m