EFTA Document EFTA01451211

9 January 2014 FX Blueprint Thin end of the wedge Theme #5: Dingo unchained ▪ 2013 saw the largest fall in AUD/NZD in over 28 years. Behind the fall in the cross was a significant move in interest rate differentials. • With the cross near record lows we think the risk / reward from here favors AUD/NZD upside. As a result we would be long AUD/NZD at current levels. As shown in Figure 1, 2013 marked the Worst' year for the AUD/NZD cross since at least 1986. Interestingly, in prior yea