Why you should expect to pay more tourist taxes – even though the evidence for them is unclear 
New faith schools in England could soon allocate all their places on religious grounds 
Flavoured vapes may produce many harmful chemicals when e-liquids are heated – new research 
Gas is good until 2050 and beyond, under Albanese gas strategy 
AI may be to blame for our failure to make contact with alien civilisations 
Can science explain why couples break up? The mathematical anatomy of a fall 
Yes, Australia’s big supermarkets have been price gouging 
What America’s first board game can teach us about the aspirations of a young nation 
Reducing energy demand and improving efficiency will help prevent the next gas crisis 
US Supreme Court upended decades of precedent in 2022 by allowing voters to vote with gerrymandered maps instead of fixing the congressional districts first 
South Africa will be president of the G20 in 2025: two much-needed reforms it should drive 
European Central Bank's (ECB) actions of quantitative easing of € 60 billion per month and a deposit rate at -0.20% has fuelled rallies in European bonds, pushing the yields lower across the board. This has also increased the carry trade and rush among companies and investors for cheap funding.
Evaluating yielding currencies -
- Australian currency is one of the top beneficiaries of Euro fueled carry trades. The EUR/AUD pair is currently trading at 1. 41, down from 1.55 in early 2014. The pair may reach to the lower bound of 1.2 experienced during the peak of Euro zone crisis, depending on the actions by Reserve Bank of Australia (RBA).
- Reserve Bank of New Zealand (RBNZ) has kept the interest rates at 3.50%, highest among the developed nations. It has increased rates in its last four out of eight meetings. With ECB on a diverging monetary policy path has fuelled the carry trade against the New Zealand dollar. EUR/NZD is trading at 1.4762, a new all-time low. Euro has fallen from 2.5 against Kiwi since its peak before 2008 financial crisis. The fall could aggravate should the RBNZ hold the rates firm in this week's meeting.
- Canadian dollar has lost some of the charm after Bank of Canada (BOC), sought to ease policy and reduced the rates at 0.75%. Nevertheless scale of actions by the ECB is much larger than of BOC's. This has prompted the EUR/CAD pair to lower lows despite rapid fall in Canadian dollar against USD. EUR/CAD is currently trading at 1.37 down from 1.55 in early 2014.
These currencies are expected to do well against Euro, should the market volatility goes down and rates remain steady in the coming months.
