Your baby is closing her 2 month phase in this world, and language understanding is certainly the next big thing in her life. Most people think that language is not yet a part of his life, but that's really not the truth. Your baby understands the rhythm of language for the very beginning.
What you need to know
At this point, your baby certainly doesn't understand your communication, but he understand the feel of it. It is just so amazing to know how your baby understands the rhythm of language and the tones. No matter how ignorant she is to words, she will understand your feel in more ways than one.
Communicate with your baby as much as possible. Stop analyzing what she understands. You will be surprised to know that your baby understands you more than you can think.