AUD/USD: Consolidation above recent lows – BBH

AUD/USD is consolidating above recent lows, BBH FX analysts report.  

RBA to pay particular attention to labor market development

"Australia’s February NAB business survey was mixed and does not move the dial on near-term RBA rate expectations. Business conditions rose 1 point to 4 while business confidence fell 6 points to -1 largely reversing January’s improvement." 

"The employment sub-index edged down 1 point to 4 but remains above long-term average of around 3.0 indicative of encouraging labor market conditions. The RBA signaled it will pay particular attention to labor market development to guide future policy decision." 

"Cash rate futures continue to imply almost 75bps of easing in the next twelve months with the next 25bps cut priced-in for May."