Australian, New Zealand dollars scale new highs on China boost

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Australian, New Zealand dollars scale new highs on China boost
Risk AppetiteChinaMarket Expectations
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The Australian and New Zealand dollars scaled multi-month peaks on Wednesday while sterling hit its highest in more than two years against a weaker dollar...

SINGAPORE - The Australian and New Zealand dollars scaled multi-month peaks on Wednesday while sterling hit its highest in more than two years against a weaker dollar, as China 's aggressive stimulus package provided the latest shot in the arm for risk appetite .

"Judging by the financial market reaction, those announcements were actually bigger than market expectations," said Carol Kong, a currency strategist at Commonwealth Bank of Australia, noting they particularly benefited currencies with strong links to the Chinese economy like the Australian and New Zealand dollars.

Markets are now pricing in a 58% chance of a 50-basis-point rate cut at the Fed's next policy meeting, up from just 29% a week ago, according to the CME FedWatch tool.Data on Tuesday showed U.S. consumer confidence unexpectedly fell in September, amid mounting worries over the health of the labour market."While we expect there are a number of reasons households are growing more pessimistic, the moderating labor market remains top of mind.

Elsewhere, the yen was steady at 143.19 per dollar, while the euro gained 0.08% to $1.1188, hovering near a 13-month high hit last month.Why a jump in economic growth could be the stock market's nightmare scenario NC State’s basketball schedule 2024-25 is out. The Wolfpack men’s basketball team announced its full schedule with Tuesday’s release of ACC games.Union workers at Hawaii’s largest hotel go on strike

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