FXStreet – Peter Dragicevich, a market analyst at the Japanese investment Bank Nomura, said that the performance of the Aussies in reaction to the positive Surprise in the Australian labour market report, support the cautious evaluation.
The details of the report revealed still a low degree of utilization, suggesting subdued wage growth and inflationary pressures. In terms of the Numbers of the gross domestic product for the first quarter on the 7th June will be published, we remain below the consensus. In contrast, our view on the Euro is positive, since the European Central Bank to start soon with the normalization of monetary policy. The constriction between the ECB, measured by the shadow interest rate and the Cash Rate, the Reserve Bank of Australia (RBA) illustrates the upward trend of the currency pair EUR/AUD. Furthermore, we believe that the GBP/AUD is quoted at the end of the second quarter to 1.53.
** FXStreet News Editorial, FXStreet**