In the absence of US market direction due to Presidents day public holiday, currency trading volumes remained subdued overnight with the primary driver being the continued talk surrounding Greece's financial woes. European officials have reconvened in Brussels overnight to discuss a rescue plan to help the ailing Greek economy; however the common theme remains with top officials placing pressure on Greece to take more measures to cut the Europe's largest budget deficit. Greece's struggle to curb their budget deficit continues to hurt global markets as investors contemplate the potential default and exposures on respective economies. Leading up to the meeting, the Euro remained subdued maintaining composure around 1.36 US Cents for the majority of the session, but failed to make any real ground despite moderate strength in European equities. The greenback has held ground against major counterparts with the exception of the commodity currencies which has seen the Aussie dollar trade just shy of 89 US cents for the majority of the session.
Local key economic news today includes the National Australia Bank Business conditions survey, and the highly anticipated minutes from the RBA's February meeting. Expect plenty of market reaction as investors look to pre-empt the next move by the RBA in March. The board's decision in February to keep rates unchanged certainly surprised the market majority which had expected a 25 bps hike - since this time we have seen more resilience of the Australian economy with a surge in September's employment figures. The Australian economy added 35,200 new jobs in the month of September, reducing the official unemployment rate to 5.5 per cent - well in advance of economist predications of 10,000 new jobs created. The latest jobs data has certainly turned the tables on interest rate projections for the impending interest rate decision when the RBA meets in March.