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AUD/CNY: the Australian dollar should ascend versus the Chinese Yuan
Some financial analysts suggest that the Australian dollar might ascend versus the Chinese Yuan within the coming weeks.
The currency pair AUD/USD hasn’t left a 3% range since mid-January. The pair should remain quite intact between approximately 0.74- 0.77. Obviously, it has been edged down as iron ore prices decreased, and waves of risk aversion hit, following tensions in the Korean peninsula. However, the pair is expected to be underpinned by trade surpluses as well as a steady RBA outlook, to say nothing of domestic data.
Over the next several weeks, experts see the greenback soaring more against the major Chinese currency than the AUD. Upbeat surge and trade and surges in equity market have seen Asian currencies going up, even versus a backdrop of higher American yields. It feels like the Chinese currency has underperformed. Meanwhile, the AUD has remained quite resilient. Therefore, analysts see AUD/CNY heading north towards the 5.25/30 area within the coming weeks.
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