ForexLive Asia Recap: Aussie Bounces Back To Unchanged

RBA  September monetary meeting minutes leaves room for possible rate cut in October or wait for 'significant deterioration' in growth outlook. Suggest A$ may be somewhat overvalued, but not substantially so. ANZ Bank now sees 25bp rate cuts in October and November, then easing after that. No reason for RBA to wait another month. China house prices fell 1.4% year-on-year, but rose 0.1% month-on-month. Tensions rising between China and Japan over the Diaoyu/Senkaku Islands. The dollar continued to trade in a narrow range during tonight's session.  EUR/USD reached a low of 1.3090, following good selling of EUR/JPY and AUD/JPY out of Tokyo. EUR/USD quickly rebounded back to opening levels and consolidated around the 1.3100 handle. Sellers reported up around yesterdays highs of 1.3165/75, with buying interest at 1.3080 and stops below. USD/JPY had a high of 78.75 early and fell to a low of 78.49 on the reported EUR and AUD selling. Surprising very little movement with all the ruckus going on over the "Islands". AUD/USD touched a low of 1.0430/35 after the release of the RBA minutes, but immediately rebounded afterwards and later reached highs of the session at 1.0485. Pressure remains on the RBA to cut but now seems to have been already priced in by the market. Have A Good Day.