Aussie sligthly lower in a tighter-range Monday trade

Monday, Sep 21 2015

There was little data in the morning session while the Aussie gave back some of its gains. Malcolm Turnbull put the handling of the economy at the center of his challenge to oust former Prime Minister Tony Abbott and the business community says he has to follow through with tax and economic reform after his sweeping ministerial changes. "We hope these changes pave the way for pursuing essential economic reforms, which are necessary for a more prosperous future and to return the budget to surplus," Australian Chamber of Commerce and Industry CEO Kate Carnell said.

Ai Group chief executive Innes Wilcox said the ministerial changes provide a clear opportunity for the government to reset its economic agenda ahead of next year's election. "Business and industry will be looking to the government to work to restore confidence and demand from a renewed focus on core economic objectives to boost competitiveness and productivity," Mr Wilcox said. "There is also a hope that there will be political stability and cohesion through to the next election."

CPA Australia chief executive Alex Mulley says the accounting body is optimistic Mr Morrison's experience with challenging portfolios in immigration and social services will mean he can effectively lead the powerful Treasury department and kick-start flagging policy reform. The Chinese economic situation is the main focus in Australia after the Feds indicated that it one of the reasons that the members backed off of their plans to raise interest rates.

Aussie is currently being traded few points above 0.7160 level. Pair is likely to find support around 0.71 handle and resistance above 0.72 area. There will be no major data releases in the rest of the session.

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