The old saying is that if you don’t like the weather in New England, just wait five minutes…
Same can be said for commodity currencies today. They were initially hammered following the Bernanke speech as risk aversion rose and the market displayed its disappointment that the Fed chief outlined no new policy shifts. A short while later, all turned around risk appetites came roaring back…
Volatility is high and heads are aching…look for liquidity to thin horribly as the day progresses.
AUD trades now at 0.8925 from 0.8865 lows after the speech hit the wires.