AUD is still largely undervalued - ANZ

Analysts at ANZ suggest that while the AUD is still largely undervalued, they think next week’s data will not provide much momentum to the currency.

Key Quotes

“The NAB survey should show sentiment remains high- but a retreat is likely after last month’s stellar reading. The labour force report should confirm spare capacity is diminishing, but too gradually to provide any impetus to the AUD. On net, the AUD is likely to consolidate below the 0.76 handle, with US rate dynamics remaining a key driver.”