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AUD/USD is consolidating above 0.6258 – BBH

AUD/USD is consolidating above last week’s lows near 0.6258, BBH's FX analysts report.

Markets continue to fully price-in the next 25bps cut in July

"Australia reported firm preliminary March PMIs. The composite PMI improved to a seven-month high at 51.3 vs. 50.6 in February. Manufacturing surged to a 29-month high at 52.6 vs. 50.4 in February and services rose to a two-month high at 51.2 vs. 50.8 in February."

"Importantly, the rate of private sector job creation increased for a third straight month amidst the solid rise in new work. This suggests that Australia’s poor February labor market data may be an outlier rather than a sign of broader weakness. Cash rate futures continue to fully price-in the next 25bps cut in July with 70% odds it will occur at the May meeting."

USD/JPY is up near technical resistance at 150.00 – BBH

Japanese Yen (JPY) is underperforming most major currencies and USD/JPY is up near technical resistance at 150.00, BBH's FX analysts report.
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EUR/USD recovers to 1.0850 after mixed European PMIs

The EUR/USD pair edges higher and recovers to 1.0850 at the time of writing on Monday after facing some selling pressure at the end of the previous week, when it briefly broke below the 1.08 big figure level.
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