The RBA is widely expected to cut rates by 25bps this week but markets might be underestimating the possibility of a bullish move despite a rate cut.
Our Event Guide for RBA’s May Policy Decision points out that April’s employment data showed an impressive 89K jobs created versus 20.9K forecast, while wage growth accelerated to 3.4% annually, potentially making policymakers cautious about easing too quickly.
This week, we’re checking out AUD/CAD and AUD/CHF possibly extending their uptrends if RBA’s event turns out less dovish than market had expected:
This Article Is For Premium Members Only
Become a Premium member for full website access, plus get:
- Ad-free experience
- Daily actionable short-term strategies
- High-impact economic event trading guides
- Unlimited Access access to MarketMilk™
- Plus More!