sydney feb 10 reuters  the australian and new zealand dollars were trying for a fourth session of gains on thursday as global equity markets rallied and commodities kept climbing while australian bonds formally waved goodbye to buying by the central bank the reserve bank of australia rba ceased its quantitative easing campaign on thursday having hoovered up more than a350 billion 25123 billion in bonds as part of a massive pandemic stimulus package the central bank estimates the buying binge kept bond yields around 30 basis points lower than they otherwise would be so its demise could be one reason yields have been surging in just the past four sessions yields on 10year paper have climbed 27 basis points to 213 and heights last visited in early 2019 threeyear futures also dived as much as 27 ticks before steadying at 98420 maintaining a bearish flattening across the curve over coming weeks we will get a better sense of the true demand in the bond market however we think there will be minimal disruption said damien mccolough head of rates strategy at westpac domestic market sentiment and momentum are being dominated by the broader global bond direction so yields are likely to keep pushing higher over coming weeks the jump in local yields has more than kept pace with rising us yields and helped the aussie firm to 07172  and away from last months trough of 06967 the break of resistance at 07168 also brightened the technical outlook and could see the rally extend to 07275 the kiwi dollar followed to reach 06680  having added 05 overnight to as high as 06697 again the break of resistance at 06683 improved the technical background and opened the way to retracement targets at 06710 and 06753 strong commodity prices should be supporting the aussie with major australian exports of coal base metals and liquefied natural gas all climbing iron ore took a hit on wednesday as beijing protested its sharp recent gains but was still near fivemonth peaks the rbas commodity price index has climbed 31 in the past year a trend that would historically be associated with a higher aussie instead the correlation to commodities has been lost along the way so that the aussie is down around five us cents on a year ago and undervalued by normal measures