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The Australian dollar held near 79 US cents in quiet trade on Monday after mixed local data failed to provide any clearer direction to the future course of the country's interest rates. The Aussie was $0.7894/99, well above last week's lows of $0.7770 and compared to $0.7822/27 at the end of Friday. "We have interesting data every day this week at a time when all eyes are looking for a consensus on rates outlook," said Greg Gibbs, senior currency strategist at RBC Capital Markets. "Thursday's labour numbers are probably the most important."
Gibbs said reports out today on spending and advertising were "mainly bullish for the Aussie but it's true that that hasn't fed into a real surge for the currency and that trading has been quiet."
The Cashcard Retail Activity index showed February spending with debit cards rose a seasonally adjusted 1.5 percent, although unadjusted figures suggested spending was more subdued in the lead-up to last week's rise in interest rates.

Copyright Reuters, 2005

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