Antipodean Currencies Rise Amid Risk Appetite

(RTTNews) - Antipodean currencies such as the Australia and the New Zealand dollars strengthened against their major currencies in the Asian session on Tuesday, as investors react positively the China's Politburo decision to further support its ailing property sector with an economic stimulus. They also look ahead to the US Fed's interest-rate decision due on Wednesday, followed by the European Central Bank (ECB) on Thursday and the Bank of Japan (BOJ) on Friday.

With the Fed widely expected to raise interest rates by another 25 basis point, traders are likely to pay close attention to the accompanying statement for clues about the outlook for rates.

Also, the crude oil prices rose, buoyed by increased demand for gasoline and export cuts by Saudi Arabia and Russia. West Texas Intermediate Crude oil futures for September ended higher by $1.67 or 2.2 percent at $78.74 a barrel.

In the Asian trading today, the Australian dollar rose to nearly a 2-week high of 1.6366 against the euro, from yesterday's closing value of 1.6410. On the upside, 1.62 is seen as the next resistance level for the aussie.

Against the U.S. dollar and the yen, the aussie advanced to 4-day highs of 0.6771 and 95.69 from yesterday's closing quotes of 0.6739 and 95.32, respectively. If the aussie extends its uptrend, it is likely to find resistance around 0.69 against the greenback and 97.00 against the yen.

Moving away from an early near 2-week low of 0.8862 against the Canadian dollar, the aussie edged up to 0.8906. The aussie may test resistance near the 0.90 region.

The aussie edged up to 1.0890 against the NZ dollar, from Monday's closing value of 1.0859. The next resistance for the aussie is seen around the 1.09 region.

The NZ dollar rose to a 1-week high of 87.96 against the yen, from yesterday's closing value of 87.72. The kiwi may test resistance around the 89.00 area.

Against the euro and the U.S. dollar, the kiwi advanced to a 5-day high of 1.7803 and a 4-day high of 0.6223 from Monday's closing quotes of 1.7825 and 0.6202, respectively. If the kiwi extends its uptrend, it is likely to find resistance around 1.74 against the euro and 0.69 against the greenback.

Looking ahead, German Ifo business climate index for July is due to be released at 3:00 am ET.

In the New York session, Canada preliminary manufacturing sales data for June, U.S. house price index for May and U.S. consumer confidence for July are slated for release.