The local banks, who have studied RBA language for many years, seem convinced that today’s statement will drop the reference to the AUD being at overvalued levels. This should generally be an AUD-bullish event but I guess that depends on what (if anything) replaces the missing sentence.
The AUD/USD is stuck in a sideways trading pattern although the AUD/NZD has broken higher, and perhaps the AUD bulls are happier to bet on the cross. Personally I don’t like ‘betting’ on these risk events so I will wait until the dust settles later this afternoon and then make some trading decisions.