Weekly outlook for NZD/AUD: Westpac

Quotes from Westpac Institutional Bank:

-NZD/AUD is peaked last week at 0.9707 - a possible cycle high. However it's too early to declare such, given the Australian data calendar this week. Starting from Wed, we will see inputs to the Q4 GDP report due 4 Mar (the day after the RBA meeting).

-Most sensitive for AUD this week will be the capex (business investment) survey. Along with a fall in Q4 actual private capex, we expect a downbeat reading on investment intentions for 2015/16 (first estimate) and at best stable on the 2014/15 investment plans. This could be enough to nudge pricing for a March cut to nearer 60% (from 50% currently).