SYDNEY, Nov 17 (Reuters) - The Australian dollar pared hefty
early losses on Monday as a bounce from major support sparked
talk of possible intervention, though the Reserve Bank of
Australia (RBA) would not confirm it had acted.
* The Aussie had sunk to $0.6363 in early trade, from $0.6586 late in New York on Friday, but then quickly jumped to $0.6445, leading dealers to suspect the RBA was buying.
* The central bank intervened on at least two occasions last week, buying the Aussie around $0.6350 when the market was disorderly and lacking liquidity.
* The Aussie had come under pressure after the weekend meeting of G20 countries produced a lot of good intentions but no concrete plan to avert a looming global recession.
* Instead investors turned risk averse again after Wall Street's late slide on Friday and figures showing a record fall in U.S. retail sales. Asian shares were seen falling further on Monday.
* The Aussie also lapsed to 62.49 yen, from peaks around 64.95 in New York, as safe haven flows lifted the Japanese currency across the board.
* The same rush to safety benefited bonds. Three-year bond futures rose 0.105 points to 96.250, while the 10-year contract added 0.070 to 95.030.
* Australian bill futures continue to price in a rate cut of at least 75 basis points at the RBA's next policy meeting in December.
* Data on third-quarter inflation-adjusted retail sales are due later on Monday and while analysts generally expect a modest 0.5 percent rise, anecdotal evidence is that sales took a severe turn in October.
* The minutes of the RBA's November policy meeting are due on Tuesday and analysts are keen to hear why it decided to cut by a larger-than-expected 75 basis points.
* RBA Governor Glenn Stevens and RBA Assistant Governor Malcolm Edey both speak on Wednesday.
(Reporting by Wayne Cole) Keywords: MARKETS AUSTRALIA DOLLAR/BONDS (wayne.cole@reuters.com ; +61 2 9373 1813; Reuters Messaging: wayne.cole.reuters.com@reuters.net ) COPYRIGHT Copyright Thomson Reuters 2008. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* The Aussie had sunk to $0.6363 in early trade, from $0.6586 late in New York on Friday, but then quickly jumped to $0.6445, leading dealers to suspect the RBA was buying.
* The central bank intervened on at least two occasions last week, buying the Aussie around $0.6350 when the market was disorderly and lacking liquidity.
* The Aussie had come under pressure after the weekend meeting of G20 countries produced a lot of good intentions but no concrete plan to avert a looming global recession.
* Instead investors turned risk averse again after Wall Street's late slide on Friday and figures showing a record fall in U.S. retail sales. Asian shares were seen falling further on Monday.
* The Aussie also lapsed to 62.49 yen, from peaks around 64.95 in New York, as safe haven flows lifted the Japanese currency across the board.
* The same rush to safety benefited bonds. Three-year bond futures rose 0.105 points to 96.250, while the 10-year contract added 0.070 to 95.030.
* Australian bill futures continue to price in a rate cut of at least 75 basis points at the RBA's next policy meeting in December.
* Data on third-quarter inflation-adjusted retail sales are due later on Monday and while analysts generally expect a modest 0.5 percent rise, anecdotal evidence is that sales took a severe turn in October.
* The minutes of the RBA's November policy meeting are due on Tuesday and analysts are keen to hear why it decided to cut by a larger-than-expected 75 basis points.
* RBA Governor Glenn Stevens and RBA Assistant Governor Malcolm Edey both speak on Wednesday.
(Reporting by Wayne Cole) Keywords: MARKETS AUSTRALIA DOLLAR/BONDS (wayne.cole@reuters.com ; +61 2 9373 1813; Reuters Messaging: wayne.cole.reuters.com@reuters.net ) COPYRIGHT Copyright Thomson Reuters 2008. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.