Seeking Alpha
0
All posts from Seeking Alpha
Seeking Alpha in Seeking Alpha - Read, Decide, Invest.,

Australia Joins The Currency Wars, As U.S. Equity Bulls Intercept Bears On The One-Yard Line

"We obviously live in a low-interest world… The majority of our trading partners, apart from China, have virtually zero interest rates. So the Reserve Bank does have more room to move."

~ Australia Treasurer Joe Hockey

Aussie Aussie Oi Oi! The Australian dollar plummeted overnight on a central bank rate cut.

Great news for our short AUDUSD (one of our largest positions, in terms of size and accumulated profit).

There were expectations brewing for a central bank rate cut from the Reserve Bank of Australia "RBA", but the timing wasn't clear.

Many traders thought the RBA would hold off another meeting or two before taking rates to a record low. Nope.

They went ahead and did it, and the Aussie continues to plummet…

(click to enlarge)

Meanwhile, as the RBA joins the currency wars to fight off recession, Australian stocks are… skyrocketing?

With China slowing, iron ore prices falling through… Read More …