AUD remains susceptible to further losses – ANZ

In view of analysts at ANZ, while the AUD remains susceptible to further losses on the back of USD dynamics, this week, we are likely to see some consolidation on the crosses.

Key Quotes

“In Australia, we are still waiting for wage inflation. We expect tame wage growth in Q2, but any upside surprise in the WPI will reinforce the chances of an RBA move over the coming year propelling the AUD higher. Meanwhile, another positive labour force report will also support sentiment for the AUD. However, as lot has been already calibrated into market expectations, any upside in the AUD driven exclusively on the back of the employment data (with still absent wages pressure) will likely be capped.”