WELLINGTON/SYDNEY, Dec 20 (Reuters) - The Australian dollar was up near record highs on the euro early Monday and a 25-year peak on sterling after a deep five-notch downgrade of Irish debt undermined the single currency, while only marginally tarnishing risk appetite.
* Indeed, the outlook for world growth got another boost from a record high in Germany's Ifo business index, just the latest in a string of upbeat global indicators recently.
* That helped support commodity prices with the CRB index up 1 pct and testing huge chart resistance around 320.80. Spot iron ore made a new seven-month peak .
* Euro down at A$1.3341 after a wild session Friday saw it jump as high as A$1.3511 before collapsing two whole cents. Sterling at A$1.5704, lows last visited in 1985.
* The slide in the euro benefited the U.S. dollar as well leaving the Australian currency somewhat softer at $0.9875, though that was a resilient performance overall.
* Support for the Aussie seen at $0.9836 and at its Dec 10 low of $0.9818 with resistance at $0.9626.
* The New Zealand dollar was about $0.7370, about 30 pips below late Friday levels, after it slid as low as $0.7351.
* Support for the kiwi at Thursday's two-month low of $0.7343, with resistance at $0.7432.
* The euro struggled after Ireland's rating was downgraded five notches by Moody's. A downgrade was always on the cards though the size surprised some.
* A summit of European leaders on Friday failed to please investors, with the actions taken seen as falling short of the firm steps needed to quell the region's fiscal crisis.
* Volumes across markets are starting to thin out ahead of the christmas holiday season.
* Kiwi gearing up for a big data week to finish the year, with third quarter current account figures on Wednesday and GDP on Thursday.
* Economic growth is seen unchanged from the second quarter at 0.2 percent, to be 1.8 percent ahead of the same quarter a year ago. Current account deficit seen at 3.4 percent of GDP
* In Australia, the minutes of the RBA's December meeting will be released on Tuesday.
* A rally in U.S. Treasuries helped send New Zealand government debt higher.
* Australian government debt futures were also stronger, with the three year contract up 0.04 points to 94.74 and the ten year contract up 0.045 points to 94.41.
* Spread between Australian and U.S. two-year yields remains wide at 450 basis points, up from a low of 435 bps early in the month.
(Australia/New Zealand bureaux) Keywords: MARKETS AUSTRALIA NEWZEALAND FOREX/BONDS (+61 2 9373 1800/+64 4 471 4234) COPYRIGHT Copyright Thomson Reuters 2010. 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.
* Indeed, the outlook for world growth got another boost from a record high in Germany's Ifo business index, just the latest in a string of upbeat global indicators recently.
* That helped support commodity prices with the CRB index up 1 pct and testing huge chart resistance around 320.80. Spot iron ore made a new seven-month peak .
* Euro down at A$1.3341 after a wild session Friday saw it jump as high as A$1.3511 before collapsing two whole cents. Sterling at A$1.5704, lows last visited in 1985.
* The slide in the euro benefited the U.S. dollar as well leaving the Australian currency somewhat softer at $0.9875, though that was a resilient performance overall.
* Support for the Aussie seen at $0.9836 and at its Dec 10 low of $0.9818 with resistance at $0.9626.
* The New Zealand dollar was about $0.7370, about 30 pips below late Friday levels, after it slid as low as $0.7351.
* Support for the kiwi at Thursday's two-month low of $0.7343, with resistance at $0.7432.
* The euro struggled after Ireland's rating was downgraded five notches by Moody's. A downgrade was always on the cards though the size surprised some.
* A summit of European leaders on Friday failed to please investors, with the actions taken seen as falling short of the firm steps needed to quell the region's fiscal crisis.
* Volumes across markets are starting to thin out ahead of the christmas holiday season.
* Kiwi gearing up for a big data week to finish the year, with third quarter current account figures on Wednesday and GDP on Thursday.
* Economic growth is seen unchanged from the second quarter at 0.2 percent, to be 1.8 percent ahead of the same quarter a year ago. Current account deficit seen at 3.4 percent of GDP
* In Australia, the minutes of the RBA's December meeting will be released on Tuesday.
* A rally in U.S. Treasuries helped send New Zealand government debt higher.
* Australian government debt futures were also stronger, with the three year contract up 0.04 points to 94.74 and the ten year contract up 0.045 points to 94.41.
* Spread between Australian and U.S. two-year yields remains wide at 450 basis points, up from a low of 435 bps early in the month.
(Australia/New Zealand bureaux) Keywords: MARKETS AUSTRALIA NEWZEALAND FOREX/BONDS (+61 2 9373 1800/+64 4 471 4234) COPYRIGHT Copyright Thomson Reuters 2010. 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.