Tuesday, February 2, 2010
RBA keep rates at 3.75%
USD/JPY, EUR/JPY fall alongside AUD/JPY as AUD hit by RBA decision to keep rates at 3.75%, dealers say; move disappointed players who had expected bank to raise rates 25 bps. USD/JPY goes as low as 90.61, EUR/JPY to 125.85. Still, Yuzo Sakai, manager of FX business promotion at Tokyo Forex & Ueda Harlow, tips USD/JPY to be supported at 90.30 rest of day, EUR/JPY at 125.70; USD generally higher vs EUR, AUD after RBA outcome and that may help USD/JPY. Also says players waiting to see what Paul Volcker, chairman of Economic Recovery Advisory Board, has to say about newly-proposed U.S. financial regulations in testimony before Senate Banking Committee later.
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