AUD modestly higher ahead of RBA minutes

AUD/USD has been stuck in a 1.05/1.08 consolidation for some time now so traders will be wary of getting caught short towards the bottom end of this range. The AUD lost ground on the crosses, especially against the NZD, after the Westpac analysis that the next move in Australian interest rates will be lower. If the RBA statement has the usual bullish tone, then we may see some more aggressive short-covering.