AUDUSD had stuck to a tight range until......>

AUSSIE: AUDUSD had stuck to a tight range until RBA Governor Lowe took to the

wires.

- Lowe reiterated that next move in the cash rate is likely to be higher, but

conceded that even though Q1 GDP was stronger than the RBA expected, the move

will not come for some time.

- He also highlighted increased tail risks owing to global developments and the

tightening of credit conditions, stressing that the Bank wouldn't be worried if

credit growth slowed a little. Lowe also stressed that the decline in house

prices is manageable.

- Ultimately AUDUSD eased to session lows of 0.7556, just ahead of the June 04

low (0.7552), before paring some of its losses to last deal at 0.7567, as Lowe

offered very little fresh insight into MonPol.

- Nearby FX option expiries of note at today's 10AM NY cut: $0.7560(A$649mln),

$0.7600(A$618mln), $0.7650-51(A$1.8bn).

- AU labour market data is due on Thursday.