Fund Performance per day (inception date : 4 Dec 06) : 1.0437%

Today

USD ( Neutral) : The US dollar was slightly softer in afternoon trade here, probably because Japan is having a holiday. USD is struggling to find support as investors chase higher yielding currencies such as the Australian and New Zealand currencies. Markets will probably be quiet until Friday's non farm payroll figures.

AUD / NZD (Bullish) : Markets are expecting the Reserve Bank of Australia will hike interest rates by 25 basis points next month to 6.50 pct. Trading in 30-day interest rate futures contracts shows bets have doubled in the past month that the RBA will raise its official cash rate next month. The New Zealand dollar meanwhile is being supported by expectations the Reserve Bank of New Zealand will raise it's official cash rate by 25 basis points this month to 7.50 pct.

JPY (Neutral) : Excerpts of BoJ Deputy Gov Toshiro Mutoh interview indicates the BoJ might still raise rates in January. On FX, JPY could be a touch supported by the ongoing debate about January rate hikes

Later

USD (Might turn bullish) : Look out for the ISM Manufacturing and Non Farm Payrolls. Figures might turn out to be more bullish than expected. Both might point to potential dollar strength towards the end of the week.

1655h - EUR : IFO Unemployment Change / IFO Unemployment Rate

2300h - USD : Construction spending / ISM Manufacturing

0645h - NZD : Exports / Imports

Technicals

Markets range bound, Pace of the markets should pick up from tomorrow onwards.